Mmegi

Non-mining GDP to tumble as gov't cash woes worsen

Seeing risks: Jefferis PIC: PHATSIMO KAPENG
Seeing risks: Jefferis PIC: PHATSIMO KAPENG

Economic activity outside the mining sector is expected to suffer knock-on effects of slowed government spending coupled with delayed payments to suppliers, as the economy’s cash crunch takes a turn for the worst, BusinessWeek has learnt.

Non-mining GDP held the fort last year as the only growing sector of the economy, containing a contraction of economic output to negative three percent, which could have been worse if non-mining GDP did not grow at by four percent.

Prominent economist Keith Jefferis said during an economic update shared this week in Gaborone that the non-mining GDP this year would take a nosedive as government spending slows and payments to suppliers continue to stall from government.

Editor's Comment
Human rights are sacred

It highlights the need to protect rights such as access to clean water, education, healthcare and freedom of expression.President Duma Boko, rightly honours past interventions from securing a dignified burial for Gaoberekwe Pitseng in the CKGR to promoting linguistic inclusion. Yet, they also expose a critical truth, that a nation cannot sustainably protect its people through ad hoc acts of compassion alone.It is time for both government and the...

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