Fintech in Botswana: too few startups despite growing financial services market & mobile unbanked population.

Fintech entrepreneurs looking to spread their wings in the sub-Saharan Africa region might consider giving Botswana a try as the country has few fintech startups. This is despite the fact that the country, boasts a population of a little over 3 million (as per the 2021 National Census), has a booming financial and technology sector, as well as a growing hunger for alternative financial solutions for the approximately 24% unbanked population.

Botswana is currently enjoying a growing economy, peaceful social ambience, low crime and a relatively developed and upwardly mobile predominantly youthful population. Digital growth has also jumped by 23% in the past five years. Almost everything is done online there - from communication to sales and advertising - people are digitally savvy and 'mobilised'. Additionally, Botswana also has a huge consumer culture - there is a lot of purchasing and spending in the country.

However, the fintech startup sector is almost non-existent. International giant corporations lead most businesses that break into the financial technology solutions sector, or if they do venture into this sector solo, they collapse or get frustrated before they even start serious operations.

Bostwana only has one fintech startup?!

A 2023 report by Disrupt Africa titled, 'Finnovating for Africa: Reimagining the Africa financial services landscape,' indicates that Botswana has only one fintech start-up. This of course is strange for a country with a large unbanked population of nearly 30%. The report notes that blame could be squared on poor corporate governance and limited fintech product ideas and technologies to support these ideas.