Mmegi

IMF sees diamond downturn squeezing growth

At the helm: Finance Minister, Peggy Serame, will be keeping a close eye on the numbers emerging from various sectors of the economy PIC: MORERI SEJAKGOMO
At the helm: Finance Minister, Peggy Serame, will be keeping a close eye on the numbers emerging from various sectors of the economy PIC: MORERI SEJAKGOMO

The International Monetary Fund (IMF) now expects the local economy to expand by just one percent this year, as the downturn in diamond mining and associated activities continues.

Earlier this year, in its World Economic Outlook, the IMF had projected 3.6 percent growth for Botswana in 2024. Government at the time of the February budget speech projected a 4.2 percent expansion, but the Bank of Botswana recently said this would likely be missed due to the underperformance of the key mining sector.

In a statement following the institution’s annual review with local fiscal and monetary policy authorities, Luc Eyraud, division chief in the IMF African Department, said the slowdown in diamonds would weigh down the economy this year.

Editor's Comment
We should care more for our infrastructure, road safety

These roads, which are vital conduits for trade and tourism, have long been in dire need of repair. However, while this development is undoubtedly a positive step, it also raises questions about broader issues of infrastructural management and road safety that deserve closer scrutiny.The A3 and A33 roads are not just any roads, they are critical arteries that connect Botswana to its neighbours and facilitate the movement of goods and people...

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