Related to this function is ensuring that Botswana has a secure and efficient payments and settlement system, which is critical for the stability of the financial sector and its ability to  BIS Review 40/2009  1  promote economic activity. Moreover, as Banker to the Government and commercial banks, the Bank of Botswana serves as the lender of last resort.
From a longer-term perspective, however, it is projected to continue to follow a positive trend as the output gap continues to be positive. As for financial conditions, the environment for corporate finance has been accommodative. In the CP and corporate bond markets, the issuing environment has been favorable. The lending attitudes of private banks have continued to be accommodative.