Flagging economy needs robust credit growth

BoB govenor Linah Mohohlo
BoB govenor Linah Mohohlo

The recently announced lower than forecast 2014 economic growth figures will likely induce the Bank of Botswana (BoB) to maintain an expansionary monetary policy to spur economic activity, analysts reckon.

Last week, Statistics Botswana announced that Gross Domestic Product (GDP) grew by 4.4 percent in 2014, the lowest growth rate recorded in the post 2009-recession period.

Government had estimated an economic growth rate of 5.2 percent in 2014, while the International Monetary Fund (IMF) had forecast a GDP growth rate of 4.9 percent in the year.

Editor's Comment
The Boko-led administration has to tread carefully

‘When you make peace withyourself, you make peace with the world’- Maha GhosanandaThis may come at a huge cost if not handled properly. What started off on Labour Day in Letlhakane this year, where Boko was in attendance when the militant lawyer-cum-trade unionist, Robert Rabasimane rebutted the President’s address in defence of the trade union has seemingly spiralled out of control. The issue is now creating a cat-and-mouse type of a...

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