World Bank avails P3bn envelope of loans to Botswana

Under a 2016-2020 Country Partnership Framework (CPF), the World Bank has proposed a developmental lending pipeline of US$270 million (P2.9 billion) to finance developmental operations in the first two years of the programme, up to 2018.

According to the framework, the World Banks says the funding is driven by the recognition that despite rapidly declining poverty, low job creation keeps inequality extremely high. “With the weakening of traditional growth drivers, a new growth model is needed that is jobs-intensive, export-oriented and private sector-driven,” says the bank. “Despite broad and well-intentioned investment, inclusion barriers remain and sustainability is threatened as resource vulnerability challenges long-term growth and inclusion.” The new P3 billion funding, which the bank says will mostly depend on demand, is an addition to an on-going $191 million (P2 billion), 87 percent of which Botswana has not yet tapped into.