The latest report from Statistics Botswana reveals a mixed performance in local Information and Communication Technology (ICT) sector during the fourth quarter of 2023. While mobile money subscriptions saw a modest increase, both mobile and internet subscriptions experienced declines, signaling shifting trends in the digital landscape.
According to the Botswana Information & Communication Technology Stats Brief Q4 2023, mobile cellular telephone subscriptions dropped by 1.3% in Q4 2023, falling from 4,498,792 in Q3 2023 to 4,440,314. Fixed telephone line subscriptions also saw a slight decline of 0.4%, from 90,141 to 89,785 over the same period.
The report highlights a year-on-year decrease of 2.1% in fixed telephone subscriptions, while mobile cellular subscriptions showed a 2.1% increase compared to Q4 2022. This suggests that while fixed-line services continue to lose ground, mobile services remain the preferred choice for communication, albeit with some fluctuations.
Internet subscriptions also faced a downturn, with total subscriptions declining by 3.5% in Q4 2023. Mobile internet subscriptions, which account for the majority of internet users, fell by 4.0%, from 3,047,654 in Q3 2023 to 2,927,018. However, fixed internet subscriptions bucked the trend, rising by 6.1% to 164,423.
Despite the quarterly decline, the year-on-year comparison shows a 3.8% increase in total internet subscriptions, with mobile and fixed internet subscriptions growing by 2.9% and 23.7%, respectively. This indicates a growing demand for internet services, particularly fixed-line connections, which may be driven by businesses and households seeking more stable and high-speed internet access.
In contrast to the declines in mobile and internet subscriptions, mobile money subscriptions continued to grow, increasing by 1.2% in Q4 2023. The number of mobile money users rose from 1,790,263 in Q3 2023 to 1,811,401. This growth reflects the increasing adoption of mobile financial services in Botswana, with popular platforms such as Smega, Orange Money, Myzaka, and Poso Money gaining traction.
Year-on-year, mobile money subscriptions saw a marginal increase of 0.02%, indicating a steady but slow growth trajectory. The rise in mobile money usage underscores the importance of digital financial services in promoting financial inclusion, particularly in rural and underserved areas.
The report also sheds light on telephone traffic trends. Domestic fixed-to-mobile calls increased by 4.8% in Q4 2023, while mobile-to-fixed calls decreased by 4.6%. International outgoing fixed telephone calls rose by 1.2%, but outgoing mobile international calls fell sharply by 14.9%.
On the messaging front, both on-net and off-net SMS traffic saw increases of 4.2% and 15.7%, respectively, suggesting that SMS remains a popular communication tool despite the growing use of internet-based messaging apps.
The ICT sector’s contribution to Botswana’s economy remained steady at 2.9% of total GDP at current prices in Q4 2023. At constant prices, the sector grew by 2.9% annually, reflecting its resilience and importance to the national economy. The Postal and Courier Services sector, while smaller, also contributed 0.1% to GDP, with a 2.1% annual growth rate.
