Page 13 - Noble Magazine • July-August 2020

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BANKING

Accountability of the Botswana economy, including
the related challenges of slow progress
on economic diversification, evidenced
and Transparency by continuing over-reliance on a single
commodity for exports, government
revenues and growth. Notwithstanding
Key to Bank of the current environment of extreme
volatility and uncertainty in global
economy and markets, the presentation
Botswana will also cover economic outlook for 2020
and prospects for recovery in 2021. The
review also indicated that the locomotives
of the Botswana’s economic growth
performance, namely, the diamond
he Bank of Botswana revenues and catalytical role of the
(BoB) hosted an economic government activities, would be severely
briefing on 14 July 2020 constrained by the COVID-19 pandemic
Twhich marked the launch amidst a macroeconomic shock which,
and dissemination of the 2019 Bank according to many commentators, is
of Botswana Annual Report, in estimated to likely lead the global, regional
fulfilment of the Bank’s accountability and domestic economy into a recession of
to its key stakeholders. The briefing uncertain magnitude and duration; most
which included a few presentations likely not experienced since the Great
by key BoB leadership showed just Depression of the 1930s.
how communication is increasingly
becoming key in the Bank’s policy “tool- The last presentation summarised
kit”, as they use it as a means to meet the theme topic for the 2019 Annual
public expectations of a transparent Report, on “Central Bank Governance
and accountable central bank as well as Supervision Report to the Minster of and Functions in Pursuit of Price
anchoring policy credibility. Finance and Economic Development and Financial Stability” by Deputy
by June 30, each year. I am happy Director in the Research and Financial
The Bank continues to explore ways to confirm that these statutory Stability Department, Innocent
and means to increase channels for requirements have been consistently Molalapata. According to Pelaelo,
sharing information with the public, adhered to throughout the existence of this theme explains the role of central
on various aspects of its operations. the Bank.” banks in the economic management
Therefore, in addition to the revamping of any country, evolving institutional
of the Bank’s website in 2019, other The Bank’s Chief Financial Officer, structures, mandates and objectives.
platforms, such as social media, are Daniel Loeto, provided highlights of Among others, Molalapata highlighted
under consideration. the Bank’s financial performance and the importance and linkages of the
operations in 2019 and updates, where triad of central bank operational
BoB Governor Moses Pelaelo said, relevant. Second, it is a tradition that autonomy, transparency and
“The Annual Report is published the Annual Report also includes a accountability in facilitating effective
in compliance with the Bank of review of economic developments discharge of the central bank mandates
Botswana Act and, as a statutory and outlook. The review provides an and maintenance of macroeconomic
requirement, contains a report on analytical context and explanations stability, attainment of inclusive and
the Bank’s operations and audited for economic developments and sustainable economic growth. He
financial statements; therefore, the prospects, as well as background to also reinforced the need for central
Annual Report is the primary vehicle policy conduct and operations by the bank adaptability in an environment
for accountability to the nation on the Bank. This was presented by BoB of fast and disruptive developments
operations and financial performance Director of Research and Financial in financial technology, aligned to
of the Bank. Also, as a statutory Stability Department.Tshokologo Alex the nation’s aspirations for digital
requirement, the Bank publishes Kganetsano, transformation and knowledge-based
a monthly Statement of Financial economy.
Position in the Government Gazette Interestingly, Kganetsano’s presentation
and submits an annual Banking included an overview of structural features

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