25 May 2026

President Advocate Duma Boko has called on the private sector to assist the government in safeguarding the strength and stability of the country’s economy.

Addressing the business community during the Botswana-South Africa business forum on Thursday, President Boko said the onus was on the private sector, as the custodians of the economy, to drive job creation and diversify industries away from over-reliance on a single commodity like mining.

He urged the business community to utilize Public-Private Partnerships (PPPs) to fund infrastructure, foster innovation, and promote local sourcing, ensuring sustainable, resilient, and inclusive growth.

“As it is the private sector and businesses that provide the dignity of jobs for our people, it is our role as government to create a predictable and enabling environment for you to operate and thrive,” he said.

In light of the recent sovereign credit downgrading, President Boko also pleaded with the private sector to treat credit downgrades as a shared responsibility, as they directly impact investor confidence, financial systems, economic growth, and the livelihoods of the people.

On March 13, 2026, S&P Global Ratings released an update on Botswana’s sovereign credit rating, downgrading the country’s long-term foreign and local currency ratings from BBB to BBB-. Similarly, the short-term ratings for both foreign and domestic currency debt were lowered from A-2 to A-3, while the outlook remains negative.

The negative outlook reflects that subdued global demand and prices for diamonds will continue to constrain Botswana’s economic growth prospects, as well as its export and fiscal receipts. 

It also indicates that the current volatile global backdrop will likely complicate Botswana’s fiscal consolidation efforts, leading to the further erosion of its external and public balance sheets.

Against this background, President Boko called for bold institutional reform, the radical simplification of processes, and a rethink of systems that no longer served the realities of today and the future.

He also emphasised that Botswana and South Africa shared common structural challenges and must collectively pursue solutions that unlocked trade, infrastructure development, industrialisation, and job creation. 

He noted that the two nations possessed complementary economic strengths that created opportunities for deeper collaboration across sectors such as mineral beneficiation, agriculture, logistics, and infrastructure development.

Consequently, he urged both government and business leaders to move away from unnecessary bureaucracy and focus on practical outcomes that improved lives and expand economic opportunities.

President Boko further noted that the private sector should help shield the economy from external shocks and champion the localisation of production and supply chains by building capacities in tourism, ICT, and manufacturing.

President Boko’s plea comes as Botswana faces mounting economic pressure following a slump in the diamond sector, which has been the backbone of the national economy.

 The country’s economy shrank by 5.4 per cent year-over-year in the fourth quarter of 2025, while output from the mining sector fell by 47 per cent.

In response, Botswana has been accelerating efforts to diversify its economy under the Botswana Economic Transformation Program (BETP), prioritising sectors such as services, regional finance, and industrial development to reduce reliance on diamond revenues.

The business forum took place on the margins of the 6th Session of the South Africa-Botswana Bi-National Commission (BNC) which forms part of broader bilateral efforts to deepen trade, investment, and industrial cooperation between the two countries, while advancing regional integration and economic growth across Southern Africa. ENDS