General Assessment

Main constraints in the development of the housing finance sector As with most developing countries, the biggest barrier to the housing finance sector is mainly low household income. Specifically, the majority of citizens in Botswana cannot afford the downpayment required for mortgage loans, and also have difficulty paying back loans. Thus many citizens that want to finance the building or purchasing of a home will take out smaller, more expensive incremental loans that serve to worsen the original problem of low wealth among the population. Also, the complicated land tenure system and inefficient land administration decreases tenure security and impedes on the possibilities to secure mortgage provision for housing.
New developments that will have a major impact on the sector 
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Notes: 2010 = 100
Notes: 2010 = 100
Notes: 40-45% for commercial banks, lower for BBS and other quasi-governmental organizations (25%)
Notes: BBS uses hybrid retail and government funding
Notes: CAHF 2015 page 37: Seven commercial banks and three statutory banks
Notes: Select Africa is making headway into Botswana microfinance industry for home improvements and home related construction Select Africa receives funding through direct payroll deposits and through external funding eg. the Soros Economic Development Fund