Inflation seen inching higher

Tuesday, August 26, 2025 | 150 Views |

HEATING UP: Inflation is expected to speed up this year and into 2026 due to the market reaction from the Pula exchange rate framework adjustments. PIC MORERI SEJAKGOMO

The Bank of Botswana now expects inflation to average 3.5 percent this year, from a June projection of 2.7 percent, due to the acceleration of prices following recent changes to the pula exchange rate framework.

The central bank now expects inflation next year to average 5.9 percent, up from the 4.6 percent forecast in June.

Speaking at a briefing held after the August Monetary Policy Committee meeting last week, BoB governor, Cornelius Dekop, said the inflation outlook had changed significantly due to both exchange rate and retail price increases associated with the July 11 adjustment of the pula exchange rate framework.

Already have an active account? Log in here.

Or Sign up and get unlimited access to premium articles.

ECONOMY

BFA to vote with CAF over Infantino proposal

Mqondisi Dube | 1d ago

Nkashi Classic crowns fastest mokoro polers

Goitsemodimo Kaelo | 1d ago

BFL board pushes back against motion of no confidence

Mqondisi Dube | 1d ago

GM Soccer Fiesta sets stage for new season

Kabelo Boranabi | 1d ago

BNOC sticks to its guns over Nike kit

Calistus Kolantsho | 1d ago

Reimagining the energy sector, Puma’s bold digital move

Lewanika Timothy | 24 Jul 2026

Four years later, State fails to link Moremong to robbery

Larona Makhaiza | 2d ago

Zambian Giants Nkana Set for Botswana Test in Inaugural Tati River Cup

28 Jul 2026

DIS must correct costly stalemate

More than P8.1 million has already been spent, yet there appears to be no lasting solution in sight. This is not simply a dispute between the DIS and a group of officers. It is a matter of public accountability. Every pula spent by government comes from taxpayers who expect public funds to be used wisely and responsibly, especially during economic hardships faced by many.The officers exercised their constitutional right to seek justice through...

The Monitor Editor | 28 July 2026

About us

Mmegi is the leading independent source of breaking news, latest news, current
affairs, Politics, Business, Sport, debates, analysis, and entertainment news in Botswana.

Explore

More

Inflation seen inching higher

The Bank of Botswana now expects inflation to average 3.5 percent this year, from a June projection of 2.7 percent, due to the acceleration of prices following recent changes to the pula exchange rate framework.