AGP Executive Report

Flag-fraud row: Botswana says it has no link to the “Botswana-flagged” oil tanker M/T Lexie targeted by the US in the Gulf, warning the incident highlights how ships falsely claim national flags to dodge scrutiny and sanctions. Mega-projects: Albaddad Holding and Botswana Development Corporation have launched “New Botswana City” in Gaborone, a $1.9bn, 1.24m sq m mixed-use development with an exhibition and convention centre as the anchor, aiming to boost trade, tourism and investment. Cement turnaround: PPC reports a second straight year of turnaround gains, with EBITDA up 31% to about R2.1bn and a 72% dividend increase, supported by improved performance across South Africa, Botswana and Zimbabwe. Mining & capital: Botswana is exploring options to increase its stake in De Beers, seeking more influence as diamond revenues soften amid lab-grown competition and fiscal pressure. Business sentiment: A Bank of Botswana survey says firms see government spending strain, cost pressures and tighter financial conditions ahead, with inflation expectations still within the 3%–6% target band. Future of mining: Botswana’s mining leaders will meet in Gaborone late June to discuss transformation, beneficiation and the exploration investment gap.

De Beers Stake Talks: Botswana is in discussions with the UAE and Oman to help finance a bid for a strategic stake in De Beers, as Anglo American prepares to sell its 85% holding—an effort aimed at giving Gaborone more influence over diamond pricing and marketing amid weaker natural diamond demand and fiscal pressure. Business Outlook: The Bank of Botswana reports firms are increasingly worried about constrained government spending, tighter financial conditions, and rising operating costs, with geopolitical risks expected to keep squeezing supply chains and commodity prices. Mining Transformation: Botswana’s mining leaders are set to meet in late June for the Future of Mining Summit 2026, focusing on investment, beneficiation and how to turn critical minerals demand into broader economic diversification. FMD Controls Eased: Botswana has relaxed Foot-and-Mouth Disease movement restrictions after suppressing the latest outbreak, allowing permitted animal movement and fresh product trade—key for protecting beef export revenues. Tech Services Expansion: Smart Hands Africa adds Supermicro to its services portfolio, expanding installation, support and maintenance across multiple African territories including Botswana. Maritime Security Claim: Botswana denied registering a tanker disabled by the US near Iran’s Kharg Island, saying any vessel falsely flying its flag is engaged in unlawful activity.

Business Sentiment: Botswana firms are getting more cautious as the Bank of Botswana flags weaker government spending, tighter financial conditions and rising cost pressures, with inflation expectations still “well anchored” in the 3%–6% band. Mining & Investment: A Future of Mining Summit in Gaborone (29–30 June) will focus on financing exploration, beneficiation and how the Exploration Investment Company Botswana can help close the early-stage investment gap. Diamonds Strategy: Botswana is in talks with the UAE and Oman to secure a strategic stake in De Beers as Anglo American prepares to sell its 85% holding, aiming to give Botswana more influence over pricing and marketing. Trade & Compliance: Botswana denied involvement in a US action against the “Botswana-flagged” tanker M/T Lexie, saying it does not register or operate vessels under its flag. Livestock Health: Botswana eased FMD controls after suppressing outbreaks, allowing permitted movement of cloven-hoofed animals and derived products within affected zones. Tech & Services: Smart Hands Africa was appointed an authorised Supermicro services partner, expanding installation, support and maintenance across multiple African markets including Botswana. Creative Economy: Botswana warned that piracy and unregulated AI could erode the creative sector unless stronger protections are put in place.

De Beers Stake Talks: Botswana is in discussions with the UAE and Oman to secure a “strategic” stake in De Beers as Anglo American shortlists bidders for its 85% holding, with the goal of greater influence over pricing and marketing of rough diamonds. Diamond Market Pressure: Angola says it will cut supply of small rough diamonds for the next three months to protect prices amid demand shifts and lab-grown competition. Mining Equipment for KCM: JCHX has ordered a 45-unit underground mining fleet from Sandvik for MMG’s Khoemacau Copper Mine in Botswana, with deliveries starting August 2026. FMD Controls Eased: Botswana’s livestock sector gets a boost as the Ministry of Lands and Agriculture relaxes Foot-and-Mouth Disease controls after suppression of the outbreak, allowing permitted movement and trade. Food Manufacturing Cost Squeeze: Tiger Brands warns some food categories may see price hikes as fuel, logistics and input costs rise, with edible oils in mayonnaise flagged as a key pressure point. Creative Sector Protection: Botswana warns that piracy and unregulated AI could erode the creative economy, urging stronger intellectual property protections. Tech Services Expansion: Smart Hands Africa becomes an authorised Supermicro services partner, adding installation, break-fix and maintenance support across Botswana and other African markets.

De Beers Stake Talks: Botswana says it is in discussions with the UAE and Oman to secure a “strategic” stake in De Beers as Anglo American prepares to sell its 85% holding, aiming to give Botswana more influence over diamond pricing and marketing. Mining Equipment Deal: JCHX has booked a Sandvik order for a 45-unit underground fleet for MMG’s Khoemacau copper mine in Botswana (about US$70m), with deliveries from August 2026 to April 2030. Food Security & Livestock Trade: Botswana eased Foot-and-Mouth Disease controls after suppressing outbreaks in the north-east, allowing permitted movement of cloven-hoofed animals and fresh products—an effort to protect 2026 export revenue. Oil Shipping & Sanctions Risk: Botswana denied involvement in a US action against the “Botswana-flagged” tanker M/T Lexie, saying it does not register or operate vessels under its flag, as false-flag tactics are highlighted in the Iran blockade. Creative Economy Protection: Botswana warned that piracy and unregulated AI could undermine the creative sector’s growth and cultural identity, urging stronger intellectual property safeguards. Tech Services Expansion: Smart Hands Africa was appointed an authorised Supermicro services partner, including support coverage that now explicitly includes Botswana. Energy Skills Pipeline: A new youth, women and citizen-enterprise programme was launched to build capacity across Botswana’s oil and gas value chain, positioning participants for emerging opportunities.

Food & Consumer Costs: Tiger Brands says higher fuel, logistics and raw-material costs will likely force price hikes on some products, especially where inputs like edible oils drive category inflation. Animal Health & Trade: Botswana has eased Foot-and-Mouth Disease controls after suppressing the northeastern outbreak, allowing permitted movement and slaughter, with 2026 revenue risks still flagged. Diamond Strategy: Botswana is in talks with the UAE and Oman to secure a “strategic” stake in De Beers, aiming for more control over pricing and marketing as rough diamond prices slump. Mining Equipment Investment: JCHX has booked a Sandvik order for a 45-unit underground fleet for MMG’s Khoemacau copper mine in Botswana, with deliveries starting August 2026. Tech Services Expansion: Smart Hands Africa became an authorised Supermicro services partner, extending installation, break-fix and maintenance support across multiple African markets including Botswana. Energy Skills Pipeline: Botswana launched a youth, women and citizen-enterprise programme to build capability across the oil and gas value chain. Creative Economy Protection: Botswana warns that piracy and unregulated AI could erode the creative sector unless stronger intellectual property protections are enforced.

De Beers Stake Talks: Botswana is in talks with the UAE and Oman to buy a “strategic” stake in De Beers from Anglo American, aiming to gain more control over pricing and marketing as rough diamond prices slump. Mining Equipment Investment: JCHX has ordered a 45-unit underground Sandvik fleet for MMG’s Khoemacau copper mine in Botswana, worth about US$70m, with deliveries starting August 2026 through April 2030. Diamond Demand Push: De Beers is doubling down on natural diamonds with a renewed “Desert Diamonds” campaign, targeting consumers and differentiating natural stones from synthetics. Courtship for Tech Services: Smart Hands Africa was appointed an authorised Supermicro services partner, expanding post-sales installation, support and maintenance across multiple African markets including Botswana. Energy Skills Pipeline: Botswana’s youth, women and citizen-owned firms are set to get training and opportunities across the oil and gas value chain under a new partnership programme launched by government. Food Security Boost: Botswana strengthens food security with a major expansion of Pandamatenga grain silos. Corporate Board Move: Aim-listed Botswana Minerals appoints David Cockbill as a non-executive director. Regional Trade & Cities: AfCFTA opportunities are highlighted through Swakopmund’s role as a trade hub, stressing logistics and industrialisation. Oil Supply Route Planning: Dangote refinery is exploring new oil pipeline links across southern Africa, including a route via Botswana into Zimbabwe and Zambia. Business Growth Marketing: Cape Marketing Agency launches AdsEngine after generating millions in measurable revenue for clients using Google Ads and PPC.

Botswana Mining & Equipment: Sandvik has won a roughly US$70m order for a 45-unit underground mining equipment fleet for MMG’s Khoemacau copper mine, with deliveries from August 2026 to April 2030, including Toro trucks/loaders, drill rigs and AutoMine remote monitoring. Food Security & Agriculture: Botswana’s Pandamatenga Grain Silos project added 60,000 tonnes of storage, lifting capacity from 30,000 to 90,000 tonnes to cut post-harvest losses and strengthen national reserves. Trade & Regional Business: Botswana’s Foreign Minister Phenyo Butale pitched Korean firms on investing beyond extraction—pushing local manufacturing and value-add—while highlighting 186 priority projects under the BETP transformation pipeline. Energy & Logistics: Dangote is weighing further oil pipeline expansion across southern Africa, with a planned route from Namibia’s Walvis Bay through Botswana into Zimbabwe and Zambia, potentially extending toward South Africa and the DRC. Labour & Macro: The Bank of Botswana warns employment conditions likely worsened after diamond-driven weakness, wiping out modest early-2024 gains. Livestock Health Impact: Botswana Vaccine Institute disruptions reportedly forced South Africa to source Foot and Mouth Disease vaccines from Argentina, affecting vaccination timing and export-linked operations. Regional Governance & Industry Inclusion: Zimbabwe’s ZASWMA says it is advancing women miners’ empowerment through regional engagement, including a WiMBO Pitso conference in Gaborone. Geopolitics Affecting Shipping: US strikes disabled a Botswana-flagged tanker (M/T Lexie) near Iran’s Kharg Island amid blockade enforcement, underscoring how regional conflict is disrupting maritime trade routes.

Mining & Gender Empowerment: Zimbabwe’s ZASWMA says it is boosting women’s participation in mining through regional networking, including attendance at the Women in Mining Botswana Organisation (WiMBO) Pitso conference in Gaborone under the theme “Unearthing Excellence: Women Transforming the Mining Value Chain.” Botswana Mining Procurement: Sandvik has won a roughly US$70m order for a 45-unit underground mining equipment fleet for MMG’s Khoemacau copper mine, with deliveries from August 2026 to April 2030, including Toro trucks, loaders, drill rigs and AutoMine-enabled monitoring. Food Security & Agriculture Infrastructure: Botswana has expanded Pandamatenga grain silos by 60,000 tonnes to lift total storage to 90,000 tonnes, aiming to cut post-harvest losses and strengthen national reserves. Trade & Jobs Pressure: The Bank of Botswana warns labour market conditions likely worsened after diamond-driven economic weakness, wiping out early 2024 employment gains. Regional Trade Disruption: Botswana may have lost export earnings after production interruptions at the Botswana Vaccine Institute affected South Africa’s Foot and Mouth Disease vaccine supply, forcing procurement from Argentina. Energy & Logistics Risk: US forces disabled a Botswana-flagged tanker (M/T Lexie) near Iran’s Kharg Island as tensions in the Strait of Hormuz escalated, while Kuwait reported a deadly drone strike on its airport.

Critical Minerals & Investment Pitch: Botswana’s Foreign Minister Phenyo Butale told The Korea Herald that the country can supply critical minerals for batteries and renewables, while urging Korean firms to invest in local manufacturing and value addition via the BETP project pipeline. Mining Project Update: Giyani Metals reported positive Definitive Feasibility Study results for its K.Hill battery-grade manganese project in Botswana, citing strong post-tax economics and next steps including FEED and further test work. Food Security Boost: Botswana strengthened food security with a major expansion of the Pandamatenga grain silos, adding 60,000 tonnes of storage capacity to reach 90,000 tonnes total. Diamond Development Governance: Botswana and De Beers appointed Dr Akinwumi Adesina as Chairperson of the Diamonds for Development Fund, aimed at driving diversification and long-term development. Regional Trade Disruption Risk: Botswana’s BVI vaccine production interruptions reportedly affected South Africa’s Foot and Mouth Disease vaccination supply, forcing alternative procurement and raising costs. Macroeconomic Pressure: The Bank of Botswana warned that labour market conditions likely deteriorated further after diamond-driven weakness, following two years of contraction. Geopolitics & Shipping Shock: US action against a Botswana-flagged tanker (M/T Lexie) and renewed US-Iran strikes in the Gulf, including attacks near Kuwait, underline ongoing risks to regional logistics and energy flows.

Diamonds for Development: Botswana and De Beers have appointed former AfDB president Akinwumi Adesina as Chair of the Diamonds for Development Fund, aimed at economic diversification, with him set to assume office on June 15. Labour Market Pressure: The Bank of Botswana warns that after early-2024 job gains, employment conditions likely deteriorated further as the diamond downturn deepened and spilled into the wider private sector. Livestock Trade Hit: Production interruptions at the Botswana Vaccine Institute forced South Africa to source Foot and Mouth Disease vaccine supplies from Argentina, disrupting vaccination and costing export earnings. Regional Fisheries Governance: SADC renewed the board of the Regional Fisheries Monitoring Control and Surveillance Centre, keeping Stanley Ndara’s leadership and prioritising vessel registers and reduced donor dependence. Maritime Security Shock: US action against a Botswana-flagged tanker (M/T Lexie) in the Strait of Hormuz, amid US-Iran escalation, underlines rising risks for shipping routes tied to Botswana-linked vessels.

Maritime Security & Oil Logistics: The US disabled the Botswana-flagged crude tanker M/T Lexie near Iran’s Kharg Island with a Hellfire missile after the crew ignored warnings for 24 hours, as Washington continues its blockade enforcement; the move comes amid wider Gulf missile activity involving Kuwait and Bahrain and renewed pressure on shipping routes. SADC Fisheries Governance: SADC reappointed Namibia’s Stanley Ndara to chair the Regional Fisheries Monitoring Control and Surveillance Centre board, with priorities including a regional register of fishing vessels and reducing donor reliance. Botswana Business Outlook: The Bank of Botswana’s Business Expectations Survey shows firms remain broadly pessimistic for the first half of 2026, citing weak government spending, exchange-rate pressure and higher input costs. Household Cost Pressure: Gaborone meat prices have jumped sharply, with inflation at 10.3% in April and Foot and Mouth Disease restrictions tightening supply and lifting food costs. Industrial & Energy Transition: Botswana is pushing an electric mobility and metallurgy hub in Selebi-Phikwe, aiming to move from raw mineral extraction into beneficiation and manufacturing. Telecom & Digital Market: Huawei launched the HUAWEI nova 15 Max in Gaborone, partnering with Cell City for nationwide retail distribution. Finance Sector Reshuffle: Letshego proposed selling five subsidiaries in Ghana, Tanzania, Nigeria, Rwanda and Uganda to Axian, while stressing Namibia operations will continue as usual. Diamond Industry Strategy: Botswana’s diamond stakeholders are urging a shift toward AI-enabled traceability, digital trading and stronger storytelling as lab-grown competition reshapes demand.

Botswana business confidence: The Bank of Botswana’s latest Business Expectations Survey shows firms turning more pessimistic for the first half of 2026, citing weak government spending, exchange-rate pressure and higher input costs, with only a fragile recovery expected later in the year. Cost of living squeeze: Households are recalculating daily spending as inflation bites, with Botswana Meat Commission price lists showing premium beef rising sharply and Foot and Mouth Disease restrictions tightening supply. State enterprise stress: Botswana Development Corporation is seeking a turnaround after posting a P167 million loss (FY to June 2025) and reporting a heavy non-performing loan burden, with MPs hearing about a structural cash-flow gap. Banking reshuffle: Letshego is exiting five African markets via a proposed sale of subsidiaries to Axian, while stressing “business as usual” for Namibia. Mining and investment signals: Leviathan Metals has started a diamond drilling programme at its Central Project in Botswana’s Kalahari Copper Belt, targeting sediment-hosted copper mineralisation. Regional security and justice: The Court of Appeal has cleared the way for the controversial sale of Mupane Mine assets, while Botswana’s justice minister is still deciding on extradition of six Mexican fugitives. Tech in the market: Huawei has launched the nova 15 Max in Gaborone, aiming to deepen its handset push through local retail distribution.

Fuel Procurement Scrutiny: Namibia ordered fuel companies to source bulk petrol and diesel exclusively from Vitol for July–September 2026, raising transparency and conflict-of-interest questions after earlier Botswana Oil quality concerns. Regional Livestock Health: Namibia’s LPO vice-chair Dawie Kok urged Southern Africa to fight foot-and-mouth disease together, warning no country can stay safe in isolation as South Africa rolls out a voluntary FMD vaccination scheme that could reshape cross-border livestock trade. Botswana Trade & Cross-Border Ease: Botswana’s Moeti Mohwasa opened the BBNTF in Francistown, pushing stronger SADC ties to streamline logistics and cut non-tariff barriers for local firms. Civic Regulation Shock: Botswana deregistered more than 5,700 societies in a sweeping Registrar of Societies crackdown, affecting churches, clubs, business and farmers’ associations. Mining & Jobs Debate: A Namibia mining jobs update (166,000+ jobs in 2025) sparked a wider question on whether government or the private sector should be the main job creator. Diamonds for Development: Diamonds Do Good held a gala on the eve of JCK Las Vegas, highlighting Botswana’s community impact grants and a farmer greenhouse initiative. Power Infrastructure Trend: A regional shift toward independent transmission providers is gaining momentum as Southern Africa loosens state monopoly control to ease grid bottlenecks.

Botswana Diamond Value-Add: Botswana and De Beers have appointed former AfDB president Dr Akinwumi Adesina to chair the Diamonds for Development Fund, aimed at using diamond wealth to drive diversification, beneficiation and jobs, with him set to assume office on June 15. Civic Space Under Pressure: Botswana has deregistered more than 5,700 societies in a sweeping Registrar of Societies crackdown published in the Government Gazette, cutting across churches, clubs, business associations and civil society groups. Regional Trade & Logistics: Botswana says it will keep pushing stronger SADC ties as it opens the 30th Business Botswana Northern Trade Fair in Francistown, focusing on easing cross-border doing-business and removing non-tariff barriers. Mining & Critical Minerals: Giyani Metals’ Botswana manganese project DFS flags a leaner but more expensive K. Hill build, with capex rising to $535m as the EV-battery supply push faces higher 2026 costs. Water Security: Botswana is among countries facing extremely high water stress, with a reminder that water continuity and infrastructure are central to food security and industry. Health & Access: A Botswana case study highlights medication shortages and the cost burden on patients, underscoring pressure on universal healthcare delivery.

Botswana Diamonds & Diversification: Botswana and De Beers have appointed former AfDB president Dr Akinwumi Adesina as chair of the Diamonds for Development Fund, aimed at using diamond wealth to drive long-term economic transformation, innovation and beneficiation, with him set to take office on June 15. Civic Regulation Shock: Botswana’s government has deregistered more than 5,700 societies across sectors including churches, business associations, clubs and community groups in a sweeping Registrar of Societies crackdown under the Societies Act. Mining & Critical Minerals: Giyani Metals released results from a Botswana-focused definitive feasibility study for its K. Hill manganese project, flagging a much higher $535m capex in a tougher 2026 cost environment while targeting battery-grade manganese for EV supply chains. Regional Trade & Logistics: Botswana says it will keep pushing stronger SADC ties to improve cross-border ease of doing business, streamline logistics and cut non-tariff barriers, highlighted at the Business Botswana Northern Trade Fair in Francistown. Livestock Health Cooperation: The Livestock Producers’ Organisation calls for stronger Southern African cooperation to fight Foot and Mouth Disease, arguing no country can stay safe without regional biosecurity coordination.