Introduction
The 2009 budget speech comes at a trying time for Botswana, both at the domestic and international levels. It is the first budget to be presented under the President Ian Khama- led government. Since the ascension of Ian Khama to the presidency, the prudent management of national resources that the BDP has always claimed to be the basis for the country's economic success has become a thing of the past. Costly projects introduced through Presidential Directives geared at popularising the President have become the order of the day. As can be expected, some of the projects have collapsed, while the sustainability of the remaining ones is doubtful.
At the international level, the world economy is going through a crisis. The developed economies are in recession, following the collapse of the housing market in the USA with dire consequences on the international financial markets. As the effects of the recession continue to manifest themselves, global demand for goods and services has plummeted, particularly for luxurious goods such as diamonds.
