First National Bank Botswana (FNBB) CEO Steven Lefentse Bogatsu has said Botswana’s economic outlook will depend on disciplined execution following the 2026 National Budget, warning that policy direction alone will not be sufficient to lift growth.
Speaking at the FNB Botswana Budget Review Seminar 2026, held a day after the budget speech, Bogatsu said the objective of the forum was “to turn fiscal direction into meaningful interpretation, dialogue and action.”
He said Botswana faces persistent structural challenges despite areas of resilience. “Underlying structural challenges remain, evident in subdued long-term growth, constrained fiscal capacity and increasing pressure on public and private capital resources,” Bogatsu said.
In the near term, growth is expected to recover only moderately. “Liquidity challenges present headwinds to Botswana’s outlook as the economy continues to rebalance,” he said.
Bogatsu said recent policy adjustments affecting the currency and domestic interest rates were necessary “to ensure the strength of local institutions.” He added that the changes support Botswana’s long-term ambition “to develop into an export-led economy” and to shift growth away from diamonds as broader reforms are implemented.
Bogatsu said FNB Botswana’s role is to support implementation. “We see our role as a partner in development, supporting SMEs, deepening capital markets, enabling innovation, and helping translate strategy into measurable outcomes,” he said.
Turning to the 2026 budget, Bogatsu said it “acknowledges these realities and sets the right priorities: diversification, private-sector participation and fiscal discipline.” However, he said, “the challenge now is not direction, but delivery.”
He said discussions at the seminar reinforced the importance of execution. “Growth requires disciplined execution,” Bogatsu said, adding that “productivity, coordination and reform momentum will determine Botswana’s next phase of progress.”
For the financial services sector, Bogatsu outlined priorities including “scaling diversification by strengthening value chains and enabling SME investment,” “driving competitiveness through skills, innovation and digital infrastructure,” and “building long-term financial buffers for intergenerational stability.” He also highlighted the need to “protect Botswana’s institutional strengths in an uncertain global environment.”
Bogatsu said FNB Botswana’s role is to support implementation. “We see our role as a partner in development, supporting SMEs, deepening capital markets, enabling innovation, and helping translate strategy into measurable outcomes,” he said.
He pointed to existing partnerships with government in financial inclusion, SME development, education and environmental conservation, including initiatives such as CashPlus, FirstPreneur and the Citizen Economic Empowerment Programme.
Bogatsu urged stakeholders to focus on action rather than analysis. “If we are serious about cementing our True North, then we must move decisively from intention to implementation, from conversation to impact,” he said.
