Story perspectives

Botswana's Economy to Rebound by 3.1% Amid Challenges

2/11/2026

Summary

Story summary

Botswana's economy is projected to grow 3.1% in 2026 after two years of contraction, Finance Minister Ndaba Gaolathe says.
The government debt is set to exceed the statutory ceiling due to a 26.35 billion pula budget deficit (8.9% of GDP).
The downturn in the diamond market, worsened by lab-grown diamonds, reduces revenues.
Gaolathe says diversification and stronger non-mining sectors are needed, with plans to raise corporate and personal income taxes.

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Story summary

Botswana's economy is projected to grow 3.1% in 2026 after two years of contraction, Finance Minister Ndaba Gaolathe says.
The government debt is set to exceed the statutory ceiling due to a 26.35 billion pula budget deficit (8.9% of GDP).
The downturn in the diamond market, worsened by lab-grown diamonds, reduces revenues.
Gaolathe says diversification and stronger non-mining sectors are needed, with plans to raise corporate and personal income taxes.