FX.co ★ Bank of Botswana Keeps Bank Rate at 5.5% in June

The Bank of Botswana left its Bank Rate unchanged at 5.5% on June 18, 2026, following a 200 basis point hike at its previous meeting, keeping borrowing costs at their highest level since September 2017. Policymakers adopted a wait-and-see approach to evaluate the impact of earlier monetary tightening on inflation dynamics, particularly in the context of the recent US–Iran agreement to end their conflict and reopen the Strait of Hormuz. According to the latest CPI figures, Botswana’s inflation accelerated to 10.7% in May, its highest reading since December 2022, largely reflecting a sharp increase in energy prices. Meanwhile, core inflation rose to 5.9%, the highest since July 2023.