United Kingdom (Commonwealth Union)_ Botswana is set to revolutionize its public debt recording and reporting practices with the implementation of cutting-edge software developed by the Commonwealth Secretariat. Valued at USD $3 billion, the country’s public debt portfolio will undergo a transformative shift while simultaneously enhancing transparency. To facilitate this transition, a delegation from the Macroeconomic and Financial Management Institute for East and Southern Africa, in collaboration with the Commonwealth Secretariat, supported the Ministry of Finance in Gaborone. The objective was to ensure a smooth transition of the debt databases to the state-of-the-art debt management software, Commonwealth Meridian.
Through a collaboration with the Government of Botswana, the training program consisted of two phases, equipping officials with the knowledge and skills required to effectively record, report, analyze, and manage various types of debt using the web-based Commonwealth Meridian software. Seitebaleng Fologang, the Director of Budget Analysis and Debt Management at Botswana’s Ministry of Finance, expressed gratitude for the Commonwealth’s timely assistance, emphasizing the immense pressure the COVID-19 pandemic placed on the country’s finances and the significance of proactive debt management. Fologang said, “The Commonwealth’s assistance is very timely, and the new system will definitely assist Botswana to proactively manage its public debt portfolio.” She added: “The availability of comprehensive, accurate, and timely data is critical for the effective and efficient management of public debt. It will also enhance accountability and transparency through periodic publication of debt statistics.”
Launched in 2019, Commonwealth Meridian represents an advanced system that builds upon its predecessor, the Commonwealth Secretariat: Debt Recording and Management System (CS-DRMS), which Botswana has been using since the late 1990s for debt recording. Kagiso Sedumedi, a Principal Finance Officer at Botswana’s Ministry of Finance, hailed the new debt management system as a game-changer. Combining cutting-edge technology with best practices, the software offers a state-of-the-art solution for day-to-day public debt management operations. Sedumedi emphasized that the system not only provides an accurate snapshot of the debt portfolio but also equips officials with the knowledge necessary to make informed decisions crucial for maintaining financial resilience.
Mac Banda, acting Head of the Commonwealth Secretariat’s Debt Management Unit, highlighted that the training in Botswana is one of the efforts of the Secretariat’s ongoing commitment to assisting member nations in prudent public debt management. Banda underlined the crucial role of the training in implementing the Commonwealth Meridian, enabling Botswana to reap the benefits of a modern system in achieving sustainable debt levels while reducing the risks of debt distress. Initially developed by the Secretariat in 1985, the upgraded Commonwealth Meridian system is currently utilized by over 50 nations to handle a combined portfolio of USD 2.5 trillion in public debt. It stands as a flagship component of the Commonwealth’s comprehensive debt management program.
