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Botswana’s diamond money is drying up, and that’s putting pressure on the government’s budget. Most people with bank loans rely on government salaries to pay them back. But if the government runs low on cash and delays salaries, people can’t pay their loans, and banks suffer. It’s like Warren Buffett said: “You only see who’s swimming naked when the tide goes out.” Right now, the diamond tide is going out. Is your bank ready?

Think of banks like shops, and money is what they sell. When it costs them more to get money, they raise loan rates to stay profitable. That’s what Stanbic, Absa, and Access Bank just did. If you have a loan, repayments may go up. But if you invest in banks, you can grow with the system.