IMF projects 1% contraction for Botswana

In April, the IMF forecast a 0.4 percent contraction, again based on the performance of diamonds. The Finance Ministry, in its last projections, said it expects the economy to contract by 0.4 percent.

In a statement following meetings with local fiscal and monetary authorities, as well as major private sector entities, the IMF said its outlook was based not only on the weak diamond performance, but the fact that this was impacting broader government revenues.