Botswana railways still in the red

 

The ailing Botswana Railways is yet to return to profitability despite the deadlines set by the government.

Last year, President Duma Boko declared and decreed that Botswana Railways will be among the key state-owned enterprises that will return to profitability by December 2025.

The entity missed these deadlines largely, according to insiders, due to its leadership instability at Board and Management levels.

Early this year, the Assistant Minister of Transport and Infrastructure, Keoagile Atamelang told Ntlo ya Dikgosi that the deadline could not be met and set new deadlines. At the time he was responding to a question from Kgosi Khama IV of Bamangwato.

Atamelang has since revealed to Parliament that Botswana Railways did not record a profit for the period ending December 2025.

However, the organisation is showing gradual improvement and is moving in the right direction, as a result of ongoing operational and strategic interventions, he said.

According to the Minister the Board and Management of Botswana Railways have developed a Strategic Plan aimed at restoring the long-term sustainability of the organisation.

“This strategy is anchored on three key pillars, namely: Strengthening corporate governance, Stabilising operations and improving asset reliability, and Driving long-term financial sustainability and growth”, he said.

A key focus area under this strategy is the rehabilitation and optimal utilisation of critical railway assets, particularly locomotives, wagons, and rail infrastructure.

Botswana Railways is actively exploring strategic partnerships with private sector entities to support the financing and maintenance of rolling stock and infrastructure, Atamelang told Parliament.

These partnerships, he said, are intended to unlock additional operational capacity, improve service reliability, and enable the railway to capture higher freight volumes, which are essential for improving the financial performance of the organisation.

Atamelang, who is also MP for Boteti East, was responding to a question from MP for Maun North Dumelang Saleshando, who asked the Minister of Transport and Infrastructure to state if Botswana Railways was operating profitably as at the end of December 2025 as had been declared and decreed by the President to the nation; if not, to explain if there had been any strategy adopted by the Board pointing to possible profitability by December 2025.