Bank of Botswana warns of ‘risk spillovers’ to banking sector
Central bank highlights ongoing impacts of banking sector liquidity squeeze
The Bank of Botswana’s financial stability council (FSC) warned the banking sector could be hit by “risk spillovers” from the government and external sectors, after the council met last week.
A statement on the council meeting, published on November 7, said banks overall remained “safe and sound”, but faced risks from highly concentrated exposures to the household sector, as well as possible spillovers from other sectors.
Botswana’s economy has been impacted by low prices for its key export of
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