The Bank of Botswana (Bank) is required by the World Bank (WB) and the International Monetary Fund (IMF) to compile financial statistics to enable provision of surveillance of the Botswana financial sector so as to allow identification of vulnerabilities and strengths of the financial system. In order to achieve this, the Bank compiles financial soundness indicators (FSI), which are disseminated to the WB, IMF and other stakeholders. The Bank compiles monthly financial data and computes FSIs on a quarterly basis.
FSIs are used to provide insight into the safety and soundness of the financial system as well as corporate and household sectors. These indicators are analysed to assess vulnerabilities in the financial, corporate and household sectors.