For a long time, akin to putting all eggs in one big proverbial basket, Botswana has been dependent on revenue from mainly rough diamond exports. But now, the investment the country has made in various economic diversification initiatives seems to be paying off, and, most importantly, has cushioned the country from a potential recession, according to the country’s finance minister, Kenneth Matambo.
Botswana’s weekend broadsheet, Sunday Standard, reported that, during the presentation of Botswana’s Draft National Development Plan 11 in Parliament last week Matambo said the parliament that that the non-mining sectors of trade, hotels and restaurants as well as banks has grown significantly the National Development Plan 10 period.
“The sector had played a major role in driving growth of the domestic economy,” said the Minister.
On average, the non-mining sector grew by 5.6 percent per annum, while ever dependable mining sector contracted by an average of 3.4 during National Development Planning 10.
Non-mining growth could not have come at the perfect time, as it saved the country from experiencing a full blown recession, Matambo pointed out.
Nonetheless, despite the relative gains achieved, he reminded Parliament that the country was still way off meeting its economic diversification objectives through non-mining sectors.