Botswana Explores Potential Launch of Central Bank Digital Currency

The Bank of Botswana is in the early stages of a feasibility study to evaluate whether to introduce a central bank digital currency (CBDC).

According to Ruth Baitshepi, head of the digitalization and innovation hub, the study aims to assess both the necessity of a CBDC and the potential risks digital assets pose to the national currency, the Pula. Botswana is following a trend in the region, with the South African Reserve Bank currently running a CBDC pilot project and Namibia, Zambia, and Zimbabwe all in the research phase. Meanwhile, Baitshepi emphasized that Botswana is far from making any final decision, as exploratory research is still underway.