Botswana’s household debt has surged to a staggering P61 billion as of December 2023, marking a 4.6 percent increase from the previous year, according to the latest survey by the Bank of Botswana. This figure encompasses P54.1 billion in commercial bank loans, P6.4 billion in micro-lender loans, and P526 million in hire purchase loans.
The survey reveals that the distribution of household debt is predominantly concentrated among individuals aged 36 to 49 years, who hold the largest share of the loan portfolio. This demographic, which comprises 40.4 percent of the workforce and has the highest employment-to-population ratio at 66.3 percent, reflects a robust borrowing capacity. However, this age group also exhibits a notable appetite for various types of credit, including unsecured loans, credit card advances, mortgage loans, and motor vehicle loans.
There's more to this story
But to keep reading, we need you to subscribe.
Investigative journalism is an indispensable part of a healthy society, but it's also expensive to produce. We are reliant on subscriptions to fund our work, and while you can enjoy most of our stories for free, a small number of premium features are reserved for subscribers.
You can subscribe for one week, a month or a full year - the choice is yours.
Save 77% on an annual subscription. Click here to find out how.
Existing subscribers can log in to keep reading here.
