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Gov’t fiscal crunch squeezes business confidence

Slowing down: Government’s fiscal challenges are the biggest concern facing local firms PIC: MORERI SEJAKGOMO
Slowing down: Government’s fiscal challenges are the biggest concern facing local firms PIC: MORERI SEJAKGOMO

Business confidence is being hit hard by worries over slow government spending, with most firms expecting a tight operating environment through to the first half of next year, a Bank of Botswana survey has revealed.

The Business Expectations Survey (BES) for the second quarter of this found that long-term expectations of the business environment are skewed to the downside, with the main worries fuelled by the government's limping revenues and spending.

The researchers found that businesses were wary of market conditions following a series of government announcements to cut spending and halt an array of planned and budgeted expenditure.

Editor's Comment
Tana project a welcome development

Whilst the project received mixed reactions from members of the public, the project is indeed a welcome development, which needs to be implemented as soon as possible. Many shared their opinion, with those against the project decrying that if implemented, it will kill the already struggling public transport industry.Many countries around the world have state-run public transport, and those who have travelled to such countries will give testimony...

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