While tough trading conditions persist due to global economic pressures the banking sector continues to show resilience recording substantial increase in profits. This is depicted by Access Bank Botswana announcing that its profit before tax will be 250 percent higher than the previous year’s.

The bank stated that its profit for the year ended December 2022 will increase to about P52 million compared to the P20.8 million recorded in 2021.

In its half year ended June 2022 the bank reported that tight liquidity conditions have negatively affected its cost of funds and growth of the loan book. The bank’s loan book increased by eight percent from P6 billion to P6.5 billion during the half year period. Commenting on the financial results, Access Bank Chairperson Lorato Mosetlhanyane highlighted that in 2022 there has been reduced appetite for lending due increased interest rate. “Deposits have grown by four percent compared to June 2021.

This shows resilience of our business as the market had limited liquidity in the first half of 2022.” In efforts to address difficult trading conditions the Bank of Botswana has raised rates twice in the half to combat the rise in inflation as well as containing second round effects.

The Central Bank also reformed the Monetary Policy framework effective in April 2022, where the Bank Rate was replaced by the Monetary Policy Rate ( MoPR) which is based on the seven day BOBC. The Pan- African bank indicated that its financial, liquidity and capital projections remain positive, despite the possible adverse consequences of the Russia- Ukraine conflict. This is also on the back of the continued recovery of the global economy from the impact of the Covid- 19 pandemic. Access Bank Botswana has recently upgraded its’ Core Banking Software systems, launched 55 new ATMs, and opened 5 new Sales and Service Centres to bring banking closer to its current and future customers, rolled out 700 point of sales ( PoS) terminals.