Therefore, if the nominal effective exchange rate of the Pula is unchanged, Botswana’s imported inflation is likely to be lower in 2003 than it was last year. Demand in Botswana, as reflected by the growth in commercial bank credit and government expenditure, was still undesirably high by the end of 2002.
The impression obtained through various surveys and interviews is that there are subtle and gradual signs on the consumers’ front to purchase quality products by paying reasonable prices. Second, the effects of exports and production bottoming out in the early spring of 2009, and the economy as a whole picking up since then, will gradually materialize from now on.