Banks credit growth dips to decade low

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Despite interest rates reaching a three-decade low in 2015, banks credit growth slumped to a 10-year low as tight liquidity coupled with poor credit worthiness of customers slowed advances.

According to data availed by the Bank of Botswana (BoB), annual credit growth fell by nearly half from 14 percent in October 2014 to eight percent in October 2015, with decline almost entirely concentrated on corporate borrowing.

Credit growth rate was last below eight percent ten years ago when it reached 7.2 percent in December 2005.

Editor's Comment
Batswana need to do better to stop FMD

It is a clear signal that the government’s purse is empty and that our own behaviour has left veterinary officials fighting with one hand tied behind their backs. We have been here before. During COVID-19, many of us thought we knew better. We ignored simple rules, we carried on as if the danger was someone else’s problem, and the virus took lives and left our economy on its knees. We are still broke from that experience. Yet now, with FMD...

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