Botswana’s rising government debt
Friday, October 28, 2022 | 1040 Views |
Balancing act: Serame’s inflation relief was necessary but is expected to widen the budget deficit and require further funding PIC: MORERI SEJAKGOMO
This is estimated around the same levels ten years back although it had been brought down over the years as a percentage of the Gross Domestic Product (GDP). Does this development raise any eyebrows?
Many may wonder what has contributed to these significantly high levels of debt and if this is sustainable in the long term. Can the economy survive in the wake of another global recession or global crisis?
Whilst celebrating milestones in inclusivity, with notably P5 billion awarded to vulnerable groups, the report sounds a 'siren' on a dangerous and growing trend: the ballooning use of micro-procurement. That this method, designed for small-scale, efficient purchases, now accounts for a staggering 25% (P8 billion) of total procurement value is not a sign of agility, but a 'red flag'. The PPRA’s warning is unequivocal and must be...