Static salaries affect insurance industry

Low household disposable incomes is the biggest challenge facing the life insurance sector in the country, according to Thato Kubu, client service manager at Metropolitan Botswana.

Speaking to Mmegi Business, Kubu said pressure on disposable incomes is mainly due to inflation and non-adjustment of salaries, particularly among civil servants.

“As a result we are rethinking business processes and product ranges, in order to remain competitive under the harsh economic conditions to meet the evolving needs of our customer base,” he said.

Editor's Comment
Botswana at a critical juncture

While the political shift brings hope for change, it also places immense pressure on the new administration to deliver on its election promises in the face of serious economic challenges.On another level, newly appointed Finance Minister Ndaba Gaolathe’s grim assessment of the country’s finances adds urgency to the moment. The budget deficit, expected to be P8.7 billion, is now anticipated to be even higher due to underperforming diamond...

Have a Story? Send Us a tip
arrow up