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About Botswana

  • Since independence, Botswana has had one of the fastest growth rates in per capita income in the world. Botswana has transformed itself from one of the poorest countries in the world to a middle-income country. By one estimate, it has the fourth highest gross national income at purchasing power parity in Africa, giving it a standard of living around that of Mexico and Turkey.
  • According to the International Monetary Fund, economic growth averaged over 9% per year from 1966 to 1999. Botswana has a high level of economic freedom compared to other African countries. The government has maintained a sound fiscal policy, despite consecutive budget deficits in 2002 and 2003, and a negligible level of foreign debt. It earned the highest sovereign credit rating in Africa and has stockpiled foreign exchange reserves (over $7 billion in 2005/2006) amounting to almost two and a half years of current imports.
  • Debswana, the largest diamond mining company operating in Botswana, is 50% owned by the government. Mineral industry provides about 40% of all government revenues. In 2007, significant quantities of uranium were discovered, and mining is projected to begin by 2010. Several international mining corporations have established regional headquarters in Botswana, and prospected for diamonds, gold, uranium, copper, and even oil, many coming back with positive results. Government announced in early 2009, that they would try and shift their economic dependence on diamonds, over serious concern that diamonds are predicted to dry out in Botswana over the next twenty years.
  • An array of financial institutions populates the country’s financial system, with pension funds and commercial banks being the two most important segments by asset size. Banks remain profitable, well-capitalized, and liquid, as a result of growing national resources and high interest rates.
  • Botswana’s competitive banking system is one of Africa’s most advanced. Generally adhering to global standards in the transparency of financial policies and banking supervision, the financial sector provides ample access to credit for entrepreneurs. The opening of Capital Bank in 2008 brought the total number of licensed banks to eight. The government is involved in banking through state-owned financial institutions and a special financial incentives program that is aimed at increasing Botswana’s status as a financial centre. Credit is allocated on market terms, although the government provides subsidized loans. Reform of non-bank financial institutions has continued in recent years, notably through the establishment of a single financial regulatory agency that provides more effective supervision. The government has abolished exchange controls, and with the resulting creation of new portfolio investment options, the Botswana Stock Exchange is growing.
  • The constitution prohibits the nationalization of private property and provides for an independent judiciary, and the government respects this in practice. The legal system is sufficient to conduct secure commercial dealings, although a serious and growing backlog of cases prevents timely trials. The protection of intellectual property rights has improved significantly. Botswana is ranked second only to South Africa among sub-Saharan Africa countries in the 2009 International Property Rights Index.
  • While generally open to foreign participation in its economy, Botswana reserves a number of sectors for citizen participation. Increased foreign investment plays a significant role in the privatization of state-owned enterprises. Investment regulations are transparent, and bureaucratic procedures are streamlined and open, although somewhat slow. Investment returns such as profits and dividends, debt service, capital gains, returns on intellectual property, royalties, franchise fees, and service fees can be repatriated without limits.
  • At the time of independence Botswana had no armed forces. It was only after attacks from the Rhodesian and South African armies that the Botswana Defence Force (BDF) was formed in self-defence in 1977. The president is commander in chief and appoints a defence council. The BDF has approximately 12,000 members.
  • Following political changes in South Africa and the region, the BDF's missions have increasingly focused on prevention of poaching, preparing for disasters, and foreign peacekeeping. The United States has been the largest single foreign contributor to the development of the BDF, and a large segment of its officer corps has received U.S. training. It is considered an apolitical and professional institution.
  • An estimated 70 percent of the country's citizens identify themselves as Christians. Anglicans, Methodists, and the United Congregational Church of Southern Africa make up the majority of Christians. There are also congregations of Lutherans, Roman Catholics, Seventh-day Adventists, Baptists, the Dutch Reformed Church, Mennonites, Mormons, Jehovah's Witnesses, and other Christian sects.
  • According to the 2001 census, the country's Muslim community, primarily of South Asian origin, numbers slightly more than 5,000. The 2001 census also lists approximately 3,000 Hindus and 700 Baha'is. Approximately 20 percent of citizens espouse no religion. Religious services are well attended in both rural and urban areas.
  • Like elsewhere in the Sub-Saharan Africa, the economic impact of AIDS is considerable. Economic development spending was cut by 10% in 2002–3 as a result of recurring budget deficits and rising expenditure on healthcare services. Botswana has been hit very hard by the AIDS pandemic; in 2006 it was estimated that life expectancy at birth had dropped from 65 to 35 years.
  • The prevalence of HIV/AIDS in Botswana was estimated at 24% for adults in 2006. In 2003, the government began a comprehensive program involving free or cheap generic anti-retroviral drugs as well as an information campaign designed to stop the spread of the virus. The promiscuous nature of many sexual relationships further impacts the health situation; so much so that it has given rise to a Love Vocabulary that is unique to the region.
  • Approximately one in six Batswana has HIV, giving Botswana the second highest infection rate in the world after nearby Swaziland. The government recognizes that AIDS will affect the economy and is trying to combat the epidemic, including free anti-retroviral drug treatment and a nation-wide Prevention of Mother-to-Child Transmission program. Botswana has reduced HIV transmission from infected mothers to their children from about 40% to just 4%.
  • At 600,370 km (231,804 sq mi) Botswana is the world's 47th-largest country (after Ukraine). It is comparable in size to Madagascar, and is slightly smaller than the U.S. state of Texas or the Canadian province of Manitoba. It lies between latitudes 17° and 27°S, and longitudes 20° and 30°E.
  • The country is predominantly flat, tending toward gently rolling tableland. Botswana is dominated by the Kalahari Desert, which covers up to 70% of its land surface. The Okavango Delta, the world's largest inland delta, is in the northwest. The Makgadikgadi Pan, a large salt pan, lies in the north.
  • The Limpopo River Basin, the major landform of all of southern Africa, lies partly in Botswana, in the southeast of the country. The Chobe River lies to the north, providing a boundary between Botswana and Namibia (Caprivi Region). The Chobe River meets with the Zambezi River at a place called Kazungula (meaning a small sausage tree, a point where Sebitwane and his Makololo tribe crossed the Zambezi into Zambia).
  • Botswana has diverse areas of wildlife habitat. In addition to the delta and desert areas, there are grasslands and savannas, where Blue Wildebeest, antelopes, and other mammals and birds are found. Northern Botswana has one of the few remaining large populations of the endangered African Wild Dog. Chobe National Park, found in the Chobe District, has the world's largest concentration of African elephants. The park covers about 11,000 km and supports about 350 species of birds.
  • The Chobe National Park and Moremi Game Reserve (in the Okavango Delta) are major tourist destinations. Other reserves include the Central Kalahari Game Reserve located in the Kalahari desert in Ghanzi District; Makgadikgadi Pans National Park and Nxai Pan National Park are in Central District in the Makgadikgadi Pan. Mashatu Game Reserve is privately owned: located where the Shashe River and Limpopo River meet in eastern Botswana. The other privately owned reserve is Mokolodi Nature Reserve near Gaborone. There are also specialised sanctuaries like the Khama Rhino Sanctuary (for Rhinoceros) and Makgadikgadi Sanctuary (for Flamingos). They are both located in Central District.
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