Pula Fund recovery inches forward

Bank of Botswana (BoB) data published yesterday pegged the Pula Fund at P41.99 billion in February, about eight percent higher than the P38.84 billion it was left at after the drawdown last September.The Pula Fund is a sovereign wealth fund comprising both national savings built from historical budget surpluses and mineral revenues as well as foreign reserves in excess of the country's medium-term requirements.

Since 1994, the BoB has invested the Pula Fund across various asset classes in international markets, keeping to guidelines emphasising safety over returns.Figures published yesterday indicate that the Pula Fund has continued its slow recovery since the drawdown, gaining P179 million between January and February. Between December 2012 and January 2013, the Fund gained P2.5 billion representing the biggest monthly jump since the drawdown.