## Botswana: Selected Issues

_IMF Staff Country Reports, August 31, 2023_

## Source details

**Canonical URL:** [Botswana: Selected Issues](https://www.imf.org/en/publications/cr/issues/2023/08/31/botswana-selected-issues-538739)

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- [Markdown version](/en/publications/cr/issues/2023/08/31/botswana-selected-issues-538739/index.md)
- [Structured JSON version](/en/publications/cr/issues/2023/08/31/botswana-selected-issues-538739/index.json)
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## Bibliographic details
- Published: August 31, 2023
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798400252365.002

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### Overview and context
- Publication date: August 31, 2023
- Main focus: Reforming the state-owned enterprises (SOE) sector in Botswana.
- Core observation: Authorities are committed to diversifying the economy and growing the relative size of the private sector but, until now, progress has been limited.
- Comparative note: Compared to other emerging markets, SOEs operate in similar industries but government ownership is considerably higher in Botswana.
- Institutional setup: Two entities are involved in the oversight and monitoring of SOEs, potentially creating risks of overlap and duplication.

### Key findings
- SOE footprint and market functioning
  - Government ownership in Botswana is considerably higher than in comparable emerging markets.
  - The authorities are taking steps to liberalize some sectors as part of efforts to enhance productivity and improve market functioning.
- Institutional risks
  - Dual oversight: Two separate entities are responsible for SOE oversight and monitoring, creating potential risks of overlap and duplication.
- Lessons from past country experiences with SOE reforms
  - Several key ingredients for success are highlighted: a favorable political environment combined with strengthened state oversight and monitoring functions.

### Policy options and reform measures observed in other countries
- Regulatory and market measures that countries have implemented:
  - Subjecting SOEs to competition law.
  - Compensating SOEs for public service obligations.
  - Requiring separation of accounts for commercial and noncommercial activities.
  - Setting guidelines for financing decisions.
  - Establishing financial performance targets.

### Subjects and keywords (as listed)
- Subject: Economic sectors, Exchange rate arrangements, Exchange rate flexibility, Foreign exchange, Inflation, International organization, Monetary policy, Prices, Public enterprises, Real effective exchange rates
- Keywords: Africa, C. SOE performance, Exchange rate arrangements, Exchange rate flexibility, generation capacity, Global, Inflation, Public enterprises, Real effective exchange rates, SOE assets, SOE health check tool result, SOE profitability

### Publication metadata and identifiers
- Pages: 39
- Volume: 2023
- Issue: 318
- Series: Country Report No. 2023/318
- DOI: https://doi.org/10.5089/9798400252365.002
- Stock No: 1BWAEA2023003
- ISBN: 9798400252365
- ISSN: 1934-7685

*International Monetary Fund. African Dept. "Botswana: Selected Issues", IMF Staff Country Reports 2023, 318 (2023).*

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## Content in this bundle

- **Botswana: Selected Issues; IMF Country Report No. 23/318; July 26, 2023**
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  - [Botswana: Selected Issues; IMF Country Report No. 23/318; July 26, 2023 (PDF)](/-/media/files/publications/cr/2023/english/1bwaea2023003.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/cr/issues/2023/08/31/botswana-selected-issues-538739_