Govt cuts economic growth forecast

Announcing the 2011/2012 national Budget in February, Finance and Development Planning Minister Kenneth Matambo forecast that the economy would grow by 6.8 percent in 2011 and 7.1 percent next year provided the largest contributor to gross domestic product (GDP), the mining sector, grows by at least 15 percent and 6.2 percent respectively over the same period. However, on Monday this week President Ian Khama said the economy is now expected   to grow by 5.7 percent this year.

 "We are recovering from the worst effects of the recent global economic downturn. The economic outlook for 2011 is positive, with growth forecast at 5.7 percent this year. Our projections of continued recovery are, moreover, supported by the analysis of independent economists and financial institutions.