Mmegi

Economic contraction ‘lands softly’ in 2025

Leading policy: The Finance Ministry has been fighting fires for years
Leading policy: The Finance Ministry has been fighting fires for years

The economic contraction expected in 2025 came in softer than projected at 0.7 percent, helped by varying measures of recovery in key sectors such as mining, diamond trading, and agriculture.

The economy averted a major slowdown due to 8.2% growth in the third quarter, driven by diamond production ramping up in anticipation of mining maintenance plans.

The fourth quarter of 2025 recorded a year-on-year decline of 5.4%, mainly due to lower production in the mining and quarrying sector. The decline was mainly attributable to reduced output at the country’s diamond mines, which have carried the bulk of Botswana’s national output over the years.

Editor's Comment
Warm relations must not come at the expense of fair trade

“I believe that free but fair trade isan absolute imperative”– John E. JamesFor two countries bound by geography, history and deep economic ties, periods of diplomatic strain serve neither side well. President Duma Boko’s efforts to restore momentum to relations with Pretoria deserve recognition, particularly at a time when Southern Africa faces shared challenges ranging from sluggish economic growth and unemployment to energy security...

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