IMF trims Botswana growth prospects
Wednesday, January 06, 2016
Bearish: Weaker diamond demand has impacted on Botswana's fiscus
The IMF had previously forecast the economy to grow at 4.4 percent in 2015. “After recovering strongly from the 2009 downturn, Botswana’s pace of economic activity is slowing in 2015 owing to weaknesses in the global demand for diamonds,” IMF executive Enrique Gelbard said following a two-week visit to Botswana. On the back of the headwinds faced by the economy, government last September halved 2015 economic growth forecasts to 2.6 percent, although other analysts such as those at Econsult, were even more pessimistic, projecting the economy to grow by a paltry one percent in 2015.
An IMF staff team, led by Gelbard visited Gaborone during December 7–22 for discussions on the 2015 Article IV Consultation with Botswana.
It is a clear signal that the government’s purse is empty and that our own behaviour has left veterinary officials fighting with one hand tied behind their backs. We have been here before. During COVID-19, many of us thought we knew better. We ignored simple rules, we carried on as if the danger was someone else’s problem, and the virus took lives and left our economy on its knees. We are still broke from that experience. Yet now, with FMD...