Supplier payment crisis hits cash-poor gov't

Reports reaching Mmegi indicate that inflows and outflows within government have become strained, as expenses associated with the new financial year shoot up, while revenues which were already weak from the prolonged diamond slump, remain at low, inconsistent levels.

Government’s debt pile is ballooning meanwhile, with larger bids to raise funds in the local capital market, with authorities even tapping the Botswana Public Officers Pension Fund directly for P3 billion last month. The debt stampede threatens to push government to its set limits quicker than expected.