There is not enough money exchanging hands. But prices are going up while salaries do not cover as much as they used to. Every Pula needs to do more than just sit.
“With household income coming under pressure, we need to ensure that every pula that we make can take us a step further,”
said James Nthoyi, Head of Markets at Absa Bank Botswana, during a recent national broadcast.
But what does it mean to make your money take you further?
One answer lies in the stock market. While inflation, the rise in prices, quietly chips away at savings, some Batswana have found ways to stay ahead. And in 2025, many of them turned to the Botswana Stock Exchange (BSE).
More Batswana Are Joining In
The BSE said that during the first half of 2025, local individuals traded shares worth P86.4 million.
When Prices Rise Slowly, Your Money Has Room to Grow
Inflation in Botswana dropped from 2.5% to 2.0% between January and June 2025. This means the cost of living rose, but at a slower pace. This small shift made a big difference for those who were in the stock market.
Low inflation helped keep more of what some retail investors earned. That is called a real return—the profit you make after removing the effects of inflation/taxes.
The BSE explained:
“Even individual investors are participating more actively, buoyed by low inflation that contributes to competitive real returns.”
In other words, a calmer rise in prices gives everyday people a better chance to grow their money.
“In the current low inflation environment, this presents entry opportunities for other investors and profit-taking opportunities as well, potentially with returns above the low inflation,”
the BSE added.
This means that not only can people enter the market at a good time, but some can also take profits, cashing in on the value they have built. But naturally, investors buy to accumulate wealth.
Some Companies Grew Much Faster
While prices went up a little, some companies on the stock market saw their value rise by a lot more. That’s like having your money run while prices are walking.
Big Winners: Companies That Beat Inflation by a Mile
These companies grew far above inflation, meaning they gave better returns than just keeping your money in cash:
- BBS Bank rose the most, 40% in six months. That’s 20 times faster than inflation!
- Choppies and Standard Chartered also did well, growing by 25% and 23.5% respectively.
- Botswana Diamonds (BOD), CA Sales, and Sechaba all grew above 8%, showing strong momentum.
These increases mean that if someone had invested P100 in BBS in January, they would now have P140 in value.
Moderate Gainers: Still Better Than Inflation
A few companies did not grow as fast as the top group, but they still beat inflation:
- Sefalana (5.8%)
- BTCL, FNBB, Botala, Letlole, and Absa — all grew between 3% and 4%
- BIHL and Turnstar just edged out inflation at 2.3%
Slow Movers: Grew Less Than Prices
These companies grew, but not enough to stay ahead of the cost of living:
- Cresta (1.6%), NAP (1.3%), Chobe (1.1%), and Engen (0.8%)
ETFs Performance
Exchange-traded funds (ETFs) are another way people invest in the stock market. Instead of buying shares in one company, you buy into a fund that tracks the price of things like gold or bonds.
Here’s how some ETFs performed in the first half of 2025:
- NewPlat (platinum) rose the most, going up by 28.8%
- NewGold increased by 22.4%
- Africa Domestic Bond Fund (ADBF) grew slowly, up 5.3%
- NewPall (palladium) dropped sharply, falling 50.7%
