Botswana has allocated P156 million for rail projects as part of the 2025/2026 development budget, according to the recent budget speech. The funds will support the rehabilitation of the Limpopo Corridor, upgrades to Botswana Railways workshop equipment, and feasibility studies for the Mmamabula–Lephalale and Mosetse–Kazungula railway lines.
The government is also considering proposals for a self-funding mega-project aimed at constructing and developing a rail corridor linking Namibia and Botswana’s western copper belt region through Ghantsi. However, the existing rail infrastructure is neither adequate nor fully optimised, prompting a review of Botswana Railways’ operational model. Any changes will require amendments to current legislation.
Challenges in executing mega infrastructure projects have historically hindered Botswana’s development, largely due to limited technical and operational capacity. Issues such as questionable contract awards, inflated costs, and poor oversight have further compounded the infrastructure deficit. To address these challenges, the government is intensifying efforts to enhance mechanisation and execution capabilities for large-scale projects, including rail, road networks, power, water, and Information and Communication Technology (ICT) infrastructure.
The broader infrastructure development budget for 2025/2026 stands at P11.54 billion. While modernisation is a long-term process requiring sustained investment, the government acknowledges that current infrastructure in transport, energy, and water is inadequate to support its vision for an inclusive economy. Additionally, the absence of world-class airports and infrastructure for modern agriculture presents obstacles to Botswana’s ambition of becoming a regional logistics hub.
Apart from railway investments, the development budget also includes ICT projects such as Local Area Network upgrades, procurement of ICT equipment, and the computerisation of driver tests. The emphasis on modernising railway infrastructure aligns with Botswana’s strategy to enhance economic growth, regional trade connectivity, and sustainability through efficient and cost-effective transportation.
Read the full budget speech
