25 Aug 2026

Bank of Botswana (BoB) has incurred a total of P69.1 million in 2025 for ordering 10 million pieces of P50 commemorative bank notes, 30 million pieces of circulating P50 bank notes and 40 million pieces of circulating P20 bank notes. 

The Minister of Finance, Mr Ndaba Gaolathe told Parliament that the bank anticipates spending P89.03 million in replenishment orders for the P200, P100 and P10 bank notes expected to be delivered this year. 

He said the bank had budgeted P114.6 million for the procurement of coins this year, noting that the allocation followed the approval in December 2025 of the award of a coin minting tender to the mint company. 

He said the award of the new contract was necessary following the expiry of the previous coin minting agreements with the mint company, which lapsed in December 2022.

Mr Gaolathe explained that the new arrangement ensured the continued and reliable supply of coins required to meet domestic demands and to support efficient circulations of currency within the economy. 

He said the stock levels maintained by the bank at any given point in time primarily determined the production frequency of bank notes and coins. Mr Gaolathe said to support the process, bank applied a currency demand forecasting model, which incorporated the current stock level held in the vaults together with average withdrawal rate recorded over preceding six-month period. 

“This approach enables the bank to project future currency demand and ensures the timely replenishment of bank notes and coin stocks. The production of bank notes and coin is a core activity of the bank aligned to protecting and safeguarding integrity value of the national currency,” he said. 

Mr Gaolathe further stated that under the current framework, the re-ordering of currency was triggered when the stock level of a particular denomination held in the vaults fell below 18 months of stock cover. He also highlighted that the threshold served as an early warning mechanism to ensure that sufficient time was available for preparation, production and delivery by the banknote printer. 

Mr Gaolathe said Protective Services department was mandated with the safeguarding of the assets of the bank including banknotes, coins and other valuables. 

In executing that role, he said the department relied on the law enforcement agencies that included the Botswana Defence Force (BDF) and Botswana Police Service. He said in instances whereby the bank received cash from the printers/minters or transport cash within Gaborone or to the Francistown branch, Mr Gaolathe noted that costs would be as follows; meals for the crew being breakfast at P11,210, lunch P12, 349 and supper at P10,490 depending on the duration of the assignment.

 In total, Francistown trip costs P66,914 per assignment while Gaborone costs P34,049 per assignment.

 Regarding distribution costs, Mr Gaolathe noted that the bank distributed currency to the public through commercial banks and does not incur direct distribution costs in the process.

 Commercial banks, he said obtained currency from the bank to meet the cash requirements of their customers and subsequently issued the currency through their distribution channels, citing the Automated Teller Machines as well as over the counter withdrawals at bank branches.

 He said the distribution framework enabled the bank to efficiently circulate currency within the economy while leveraging the existing infrastructure of commercial banks to ensure widespread and convenient public access to cash. 

The minister was responding to a question from MP for Kgatleng Central, Mr Mpho Morolong, who had wanted to know the cost incurred by government on the production of printing the Pula currency notes and minting coins and to further state production frequency, security expenses and distribution costs. ends