Financial pressure mounts on households
Pauline Dikuelo | Monday October 12, 2026 06:00
The third-quarter survey by the credit risk firm found that the proportion of consumers reporting a decline in household income over the previous three months rose from 30% in 2025 to 39% in 2026, whilst those reporting income growth fell from 33% to 26%.
At the same time, the proportion of consumers expecting difficulty paying at least one current bill or loan increased from 34% to 39%.
Among those anticipating difficulties, 43% said they would make partial payments, whilst 38% would take on temporary or gig work to supplement their income. Another 26% said they would use their savings, whilst the same proportion would borrow from friends or family.
However, the survey also found that many consumers remain optimistic about their financial prospects, with 71% expecting their household income to increase over the next 12 months, despite worsening financial conditions.
Financial pressures have also prompted consumers to reduce non-essential spending.
In the third quarter, nearly three-quarters, or 73%, said they had cut discretionary spending, such as dining out, travel and entertainment, during the previous three months. This was 19 percentage points higher than in the same period in 2025.
Spending cuts also extended to digital services, with the proportion of consumers reducing expenditure on wireless phones, cable television and internet services increasing from 30% to 39%. Those cancelling subscriptions or memberships rose by seven percentage points year on year to 40%.
TransUnion Botswana CEO, Kabelo Ramaselwana, said the findings demonstrated consumers’ determination to remain financially resilient.
“Households are making deliberate decisions about spending, looking for opportunities to supplement their income and focusing on maintaining financial stability despite current challenges,” he said.
The survey further indicated that, despite becoming more cautious about borrowing, consumers continue to view access to credit as important. The survey found that 96% of respondents considered access to credit and lending products important for achieving their financial goals, unchanged from 2025.
However, confidence in credit accessibility weakened. Consumers who believed they had sufficient access to credit declined from 41% to 36%, while those who said they did not have sufficient access increased from 37% to 45%.
Intentions to apply for new credit or refinance existing credit also fell by 15 percentage points year on year to 25%.
Among those planning to seek credit, intentions to apply for a personal loan declined by 16 percentage points to 27%, whilst those planning to apply for a mortgage or home loan fell from 30% to 24%.
Meanwhile, digital fraud remains a significant concern despite fewer reported scam attempts.
The proportion of consumers targeted by email, online, phone call, or text-message fraud declined by seven percentage points year-on-year to 68%. However, those reporting that they had become victims increased from six percent to eight percent.
Phishing attempts among targeted consumers increased from 38% to 47%, whilst vishing increased from 39% to 46%.
The survey also found greater awareness of fraud protection, with the proportion of consumers checking their credit reports for signs of fraudulent activity increasing from 14% to 23%.