Botswana Roundup: School sports restored, Interest rate cut, FOCAC summit

School sports restored

After a five-year suspension, school sports in Botswana have officially returned. The suspension, caused by a 2018 boycott over unpaid coaching duties, ended following successful negotiations between the government and the teachers’ union, the Voice reports. The government has allocated P55 million (approximately $4 million) to fund the program for the current financial year. “There is no need to dwell on why school sports took so long to return. What’s important is that school sports are back, and we can now continue our mission of placing sports development at the forefront. We faced numerous challenges in bringing the program back - we were constantly in meetings with the teachers’ union, looking for common ground. But today, I am proud to say that school sports are back, and they are here to stay,” Minister of Youth, Gender, Sports, and Culture, Tumiso Rakgare, announced during a homecoming ceremony for Botswana’s Olympic athletes at Maun Sports Complex. 

Bank of Botswana cuts interest rate

The Bank of Botswana has reduced its Monetary Policy Rate by 25 basis points, bringing it down from 2.15 percent to 1.9 percent. The decision follows concerns over the country's economic prospects, particularly the slowdown in the diamond sector and a 5.3 percent contraction in real GDP in the first quarter of 2024, the Gazette reports. The Monetary Policy Committee (MPC) highlighted the impact of reduced export earnings on government spending and overall economic activity. The MPC noted in a statement that, “the reduced export earnings are likely to constrain government spending, which in turn will have a negative impact on overall economic activity.”

China-Africa summit

President Mokgweetsi Masisi has confirmed his attendance at the 9th Forum on China-Africa Cooperation (FOCAC) in Beijing, scheduled to take place from September 4-6. The summit, themed "Joining Hands to Advance Modernisation and Build a High-Level China-Africa Community with a Shared Future," will feature a keynote address by Chinese President Xi Jinping. The event is expected to be the largest gathering of African leaders in China since 2018 and it will also count as Jinping’s third appearance at the event since ascending to power in 2014. 

Air access project

Botswana has launched the Botswana Air Access project, an initiative aimed at improving international air connectivity and positioning the country as a key business and logistics hub in Southern Africa. The project is a concerted effort involving the Civil Aviation Authority of Botswana (CAAB), Botswana Tourism Organisation (BTO), Botswana Investment and Trade Centre (BITC), and other stakeholders, local news portal Mmegi reports. CAAB CEO Bao Mosinyi emphasised the importance of enhancing the country’s connectivity to accelerate development. 

Budgetary concerns

Botswana's budget transparency has come under scrutiny, with the latest Open Budget Index (OBI) revealing a drop in the country’s transparency score from 38 in 2019 to 34 in 2021. UNICEF's recent analysis of Botswana's 2022-2023 national budget has raised concerns about declining public involvement in the budgeting process. The report highlights that the public participation score, which measures citizen input in the budget, dropped from 9 to just 6 out of 100 during this period, the Sunday Standard reports.