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Country Info: Botswana

Economic Background

Botswana has maintained one of the world's highest economic growth rates since independence in 1966. However, economic growth was negative in 2009, with the industrial sector shrinking by 30%, after the global crisis reduced demand for Botswana's diamonds. Although the economy recovered in 2010, GDP growth has again slowed.

Through fiscal discipline and sound management, Botswana transformed itself from one of the poorest countries in the world to a middle-income country with a per capita GDP of $16,800 in 2012. Two major investment services rank Botswana as the best credit risk in Africa. Diamond mining has fueled much of the expansion and currently accounts for more than one-third of GDP, 70-80% of export earnings, and about one-third of the government's revenues. Botswana's heavy reliance on a single luxury export was a critical factor in the sharp economic contraction of 2009. Tourism, financial services, subsistence farming, and cattle raising are other key sectors. According to official government statistics, unemployment reached 17.8% in 2009, but unofficial estimates run much higher. The prevalence of HIV/AIDS is second highest in the world and threatens Botswana's impressive economic gains. An expected leveling off in diamond production within the next two decades overshadows long-term prospects.

A major international diamond company signed a 10-year deal with Botswana in 2012 to move its rough stone sorting and trading division from London to Gaborone by the end of 2013. The move may support Botswana's downstream diamond industry. (Source: World Factbook, 2013)

Selection of document downloads

Botswana - UPDATED National AGOA Strategy (2021)

Botswana - UPDATED National AGOA Strategy (2021)

The National AGOA Response Strategy provides a key guiding framework on strategic areas of interventions that would allow for Botswana to broaden and deepen its use of the AGOA preference program. This [updated] Strategy, therefore, seeks to ensure that the country remains on course to developing Botswana’s export and manufacturing sectors. As an update to the initial AGOA National Response Strategy that was launched in September 2017, there...

Author USAID | SATIHUB | Botswana MITI
Organisation Botswana MITI
Publication Date 15 March 2021
View the document D Size: 1 MB
Botswana - National AGOA Strategy

Botswana - National AGOA Strategy

This document was prepared following a multiple stakeholder consultation process facilitated by the Botswana Ministry of Investment, Trade and Industry with assistance from the USAID Southern Africa Trade and Investment Hub. The author’s views expressed in this publication do not necessarily reflect the views of the United States Agency for International Development or the United States Government.

Author Southern Africa Trade Hub | USAID
Organisation Government of Botswana
Publication Date 01 September 2017
View the document D Size: 3 MB

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