Botswana budget projects economic rebound this year

Botswana's economy is projected to grow by 3.1% in 2026, recovering from two years of contraction, according to Finance Minister Ndaba Gaolathe. The economy has suffered due to a downturn in the global diamond market, which significantly impacts national revenue and foreign exchange earnings. Gaolathe emphasized the need for economic reforms to avoid stagnation and called for accelerated diversification to strengthen non-mining growth sources. The country's diamond stockpile is currently above target levels, limiting production increases amid low prices.