Growth set to rise as mining powers back

The country’s most economically important sector is recovering after a two-year slump largely caused by the downturn in diamonds that began in the third quarter of 2023. This year, fiscal authorities have revised economic growth to 3.8 percent, from an initial forecast of 3.1 percent, due largely to the stronger diamond production in the first half of the year. On Tuesday, Kenewendo told Mmegi that she was cautiously optimistic about the direction of the diamonds, which appear to have hit rock-bottom and started bouncing back. From the squeeze of synthetic diamonds, to global economic uncertainty and the “Trump tariffs,” natural diamonds are mounting a global fightback led by producers that include Botswana and companies such as De Beers, using nuanced marketing across strategic platforms.

“What we have seen is growth from negative 3.3 percent or so last year and two years ago, to now being positive in the U.S. market at about five percent, six percent and even double digits in July,” she told Mmegi in a wide-ranging interview on Tuesday. “These are comforting. We are cautiously optimistic about the industry.”