- Tsaone Segaetsho
President Duma Boko on Tuesday launched Botswana’s first Sovereign Wealth Fund, which is expected to serve as a strategic vehicle for long-term savings and investments, both domestically and internationally.
“This is a bold and visionary step toward reducing the country’s dependence on diamonds and safeguarding its long-term prosperity,” Boko said at the launch in Gaborone on Tuesday.
Boko has also recently launched the Botswana Economic Transformation Programme (BETP), which has gained traction in its implementation as the economy seeks to move away from dependence on diamonds, which account for 80 per cent of the country’s exports.
He regards the Sovereign Wealth Fund as a key step in reducing reliance on diamonds while advancing economic diversification and transformation.
While acknowledging the importance of diamonds as a cornerstone of Botswana’s economy, Boko said the recent volatility affecting the industry underscored the urgent need for diversification, hence the establishment of the Sovereign Wealth Fund.
He added that there has been a shift from external engagements to bringing global expertise directly into Botswana, while ensuring knowledge transfer and the strengthening of local capacity. This, he said, is why a team of highly competent professionals has been appointed to manage the Fund.
In preparation for the launch, the Government of Botswana registered a public company, Botswana Sovereign Wealth Fund Limited (BSWFL), on 27 May. The company, wholly owned by the government, operates directly under the Office of the President.
The Fund’s mandate focuses on the long-term management and investment of national funds and resources, with the aim of generating growth without compromising the sustainability of Botswana’s prosperity.
