Two sides of the Pula's fortunes

Thursday, February 06, 2014

Although it is expected to reduce Botswana's Southern African Custom Union's (SACU) receipts, the Botswana Pula's mixed trading trends in the past two years could also boost the country’s diamond revenues.

As a result of the deliberate policy by the Bank of Botswana, the Pula has weakened against most major trading currencies, while appreciating against the Rand.

On an annual basis (12 months to January 2014), the Pula depreciated against the US dollar (9.1 percent) while it appreciated against the Yen (8.3 percent) and the Rand (5.1 percent) respectively.

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Two sides of the Pula's fortunes

Although it is expected to reduce Botswana's Southern African Custom Union's (SACU) receipts, the Botswana Pula's mixed trading trends in the past two years could also boost the country’s diamond revenues.

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