Botswana and AfDB Deepen Strategic Partnership to Drive Private Sector-Led Industrial Growth

(3 Minutes Read)

In a move to accelerate economic transformation and promote industrial growth led by the private sector, Botswana has reaffirmed its strategic partnership with the African Development Bank Group (AfDB). This renewed collaboration was discussed during high-level meetings held in Gaborone on April 15 between Vice President and Finance Minister Ndaba Gaolathe and AfDB’s Director General for Southern Africa, Leila Mokaddem.

Vice President Gaolathe outlined Botswana’s primary development goals, including digitising the economy, commercialising agriculture, and reforming state-owned enterprises. These priorities align with the country’s broader ambition to reduce reliance on the public sector and establish a dynamic, private-sector-driven economic model. He emphasised Botswana’s readiness to deepen its ties with the AfDB, particularly to support initiatives like automotive manufacturing.

Acknowledging the AfDB’s role in Botswana’s progress, Gaolathe commended the institution’s modernisation and continued growth. Mokaddem, in turn, reaffirmed the Bank’s commitment to supporting Botswana’s Vision 2036 agenda, stressing the importance of reforms, capacity building, and private sector empowerment to achieve long-term growth. Deputy Director General Moono Mupotola also expressed confidence in the enduring partnership.

The discussions included plans for the Governance and Economic Resilience Support Programme (GERSP), with an allocated $1 billion in potential funding, of which USD 304 million will be accessible in 2025. This funding will support fiscal governance improvements and enhance private sector engagement. Technical assistance will also be provided to improve public investment execution.

Read Also;

https://trendsnafrica.com/climate-smart-agriculture-an-afdb-initiative-in-sa/

Water security was another focal point, with the Lesotho-Botswana Water Transfer Project aiming to build a 700-kilometre pipeline to improve water and sanitation infrastructure. Broader infrastructure development in transport, energy, and logistics is also underway, including road and railway improvements and strategic electricity transmission studies.

AfDB reiterated its commitment to supporting Botswana’s economic diversification and regional integration goals, citing past successful investments such as in Lobatse Clay Works and Delta Automotive Technologies as evidence of effective development finance.