The minister said recently that government is committed to promoting banking services accessibility to all.
"The banks are therefore expected to assist in supporting this objective by coming up with financial service products, which are accessible to a majority of the people," Gaolathe said when launching Dr Keith Jefferis' book last week at Gaborone Sun. The minister advised the banks that they should not confine themselves to a 'narrow range of activities or customers'.
He said the broadening of access to the financial products has long-term benefits for individuals and businesses and could generate economic growth.
Gaolathe added that access to banking facilities like savings products, credit and transactions services would enable people and businesses to accumulate financial assets, invest, and spread risks.
The minister's comments come at a time when most of Botswana's commercial banks are looking at rural markets to grow their bottom lines.
Barclays Bank of Botswana is a trailblazer in this rural outreach programme with their rollout of 'Express Braches' in Tlokweng and Tutume aimed at bringing banking nearer to rural people.
First National Bank (FNB), Barclay's fierce competitor has also opened a portable bank in Kasane.
Jefferis booklet titled 'Enhancing Access to Banking and Financial Services in Botswana' looks at areas and segments of population that do not have access to financial services and banking in particular. The booklet has made a shocking discovery that half of the adult population in Botswana does not make use of banking services. However, the booklet observes that Botswana is ahead of its peers in the region in terms of banking outreach.
The booklet notes that although Botswana does not do badly by regional standards, there are nonetheless challenges faced in ensuring greater participation in the use of banking services.
Meanwhile, Gaolathe has noted that over the years, there has been noticeable innovations and improvements in service quality aimed at enforcing customer satisfaction by the banks.
One bank that stands tall in terms of endeavour to improve customer service is Standard Chartered Bank. Recently the bank announced that it will give P100 to every customer who calls its call centres, but is not helped within 24 hours.
Gaolathe said that banks still receive negative comments as a result of high charges, long queues, and lack of services in rural areas.
He said there is a feeling that profitability ratios in the industry are high by international standards and therefore they need to be matched by high quality of services provided.
"I would therefore like to encourage the industry to appreciate and understand these concerns and reinforce its efforts to improve the situation," he said.
