Trade deficit swells to record P16bn

Preliminary trade data from Statistics Botswana indicate that merchandise imports in 2012 amounted to P61.4 billion, exceeding exports which were valued at P45.5 billion. Last year's trade imbalance represented the fifth year of rolling trade deficits.

According to the data, the running monthly deficits in 2012 peaked in July at P6.7 billion. This was due to the relocation of diamond aggregation activities from the De Beers' controlled Diamond Trading Company (DTC) International in London to Botswana. "The peak in imports curve in July 2012 was when the DTC International relocated from London to Gaborone," the data agency said in a trade digest released last Friday.