The 2024 Banking Supervision Report revealed that the market structure has remained largely unchanged, with the local banking’s “Big Four”, Absa Bank Botswana, First National Bank Botswana (FNBB), Standard Chartered Bank Botswana, and Stanbic Bank Botswana continuing to dominate the industry. During the reporting period, commercial banks controlled 95.5% of total banking assets, 95.9% of deposits, and 93.8% of loans and advances, reaffirming their position as the backbone of Botswana’s financial system. “Commercial banks continued to dominate the banking industry in total assets, deposits, and loans and advances, with respective market shares of 95.5% for assets, 95.9% for deposits, and 93.8% for loans and advances,” the report highlighted.
However, the report noted that despite this entrenched dominance, smaller commercial banks made marginal gains in market share across all major indicators in 2024. Analysts say this reflects the gradual diversification of the banking landscape, as newer entrants seek to carve out niche markets through digital offerings and targeted lending products. Meanwhile, statutory banks, which include the National Development Bank (NDB) and the Botswana Savings Bank (BSB), recorded a notable rise in their footprint. Data showed that their combined share of banking sector assets increased from 3.4 percent to 4.5 percent, deposits from 2.5 percent to 4.1 percent, and loans and advances from 4.1 percent to 6.2 percent during the same period. Last year, Bank of Botswana noted that BBS Bank’s conversion from a building society to a commercial bank marginally cut the gap between the Big Four and the rest of the market.
