Good morning, before we continue, the next issue of ATAPS will be next month, it needs research and proper organization from me to compile everything together, that being said, let’s get into it!

In the 2026/2027 Budget Speech, Vice President Ndaba Gaolathe emphasized a shift from government-funded tourism to an investment-led model. This is driven by the Botswana Economic Transformation Programme (BETP), which identifies tourism as one of the key sectors for moving away from diamond dependency.

While there isn't one single "pot" of money labeled only as tourism, the investment is spread across several high-impact areas:

1. The "21 High-Impact Projects."

Under the BETP, the government has launched 21 specific projects dedicated to the tourism sector. The primary goal of these is to:

  • Diversify the Product: Move beyond the "high-value, low-volume" safari model in the Okavango Delta.

  • Expand Employment: Target sectors like cultural tourism, "man-made" attractions, and urban tourism.

  • Regain Value: Reduce "leakages" (money spent on Botswana tourism that stays with foreign companies) and ensure more revenue stays within the local economy.

2. Infrastructure Support (The P3.86 Billion Connection)

A large portion of the P3.86 billion allocated to Transport and Infrastructure is tied directly to tourism growth:

  • Aviation Modernization: Expanding and upgrading airports and regional flight networks to make it easier for tourists to move between Gaborone, Kasane, Maun, and the Ghanzi/Makgadikgadi regions.

  • Aviation Strategy: Part of the plan is to position Botswana as a regional travel hub, reducing the reliance on tourists having to fly through Johannesburg.

3. MSME and Citizen Participation (P1.31 Billion)

The Vice President proposed P1.31 billion for MSME (Micro, Small, and Medium Enterprises) financing. This is specifically intended for:

  • Eco-preneurs and Local Operators: Funding for Batswana to start or scale lodge operations, tour guide services, and cultural experiences.

  • Community-Based Natural Resource Management (CBNRM): Strengthening the law to give local communities more ownership and a larger share of the profits from tourism activities on their land.

4. Strategic Reforms (The "Doing Business" Aspect)

Rather than just spending money, the government is "investing" in policy changes:

  • Concession & Lease Renewals: Fast-tracking the renewal of tourism site leases (specifically in Ngamiland and the Makgadikgadi) to give investors the confidence to spend their own capital on upgrades.

  • Taxation of Remote Services: Starting April 2026, VAT will be introduced on inbound tourism services provided by non-resident entities. This is a move to level the playing field for local operators and increase domestic revenue collection.

Summary Table: Where the focus lies

Investment Area

Primary Goal

21 BETP Projects

Product diversification (Cultural, MICE, Urban)

Aviation & Transport

Regional connectivity and destination accessibility

MSME Financing (P1.31bn)

Increasing local citizen ownership and wealth creation

Regulatory Reform

Lease security for lodge owners and tax compliance

Sources

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