Search
Close this search box.

Firm Details

No data was found

Global economic recovery boosts Botswana’s economy

Botswanaโ€™s Minister of Finance and Economic Development Kenneth Matambo says the country’s economy is expected to expand at a faster pace this year compared to last year. This, as a recovery in the global economy positively affects its mining sector.

Mr. Matambo, in addressing parliament during his presentation of the 2018 budget, said GDP growth was projected at 0.6 percent higher in 2018, than in 2017. This places growth at an estimated 5.3 percent this year, compared to last year’s estimated 4.7 percent expansion.

โ€œAlthough the economy is expected to improve in performance, our fiscal position remains tight and government will continue to manage expenditure,โ€ Matambo said.

Botswanaโ€™s budget deficit was forecasted to increase to USD 372 million or 1.8 percent of GDP in the 2018/19 fiscal year. This was up 0.5 percent last year.

Said Mr. Matambo: โ€œGovernment sees the expected deficit to be temporal and will therefore be financed by a combination of drawing down on existing loans and cash reserves.โ€

Earlier this year, the World Bank’s Global Economic Prospects report upgraded Botswana’s growth forecast to 4.7 percent for 2018. Last year, the bank’s forecast settled at 4.2 percent. The bank also revised upwards their estimates for Botswanaโ€™s 2017-2018 growth from four percent to 4.5 percent.

According to the bank’s reports, in Southern Africa, the forecast for 2018-2019 places Botswana as having the third highest growth rate after Angola (six percent) and Malawi (five percent). The lowest forecast growth for the region is expected in Zimbabwe with 0.9 percent, followed by South Africa with 1.1 percent and Swaziland with 1.9 percent.

โ€œDownside risks include the possibilities that commodity prices will remain weak, global financing conditions will tighten disorderly, and regional political uncertainty and security tensions will intensify. On the upside, a stronger-than-expected pickup in global activity could further boost exports, investment, and growth in the region,โ€ the report reads.

LEX Africa Botswana member is Armstrongs Attorneys

Media

Explore our news articles, specialist publications and browse through our webinars and gallery

What We Do

Explore our range of expertise, and see how we can help you.
Banking, Finance, Investment Funds & Private Equity
Business Crimes & Investigations
Competition Law
Construction & Engineering
Corporate Mergers & Acquisitions
Cyber Law, Block chain & Technology
Dispute Resolution
General Business Law
Healthcare and Life Sciences
Infrastructure, Energy & Projects
Insolvency & Business Restructuring
Intellectual Property
Labour & Employment
Local Investment Laws and Indigenisation
Media, Broadcasting & Communications
Mining, Environmental & Resources
Property Law and Real Estate
Tax

Member Countries

Explore our member firms by country

Algeria
Angola
Botswana
Burkina Faso
Cameroon
DRC
Egypt
Equatorial Guinea
Eswatini
Ghana
Guinea Conakry
Ivory Coast
Kenya
Lesotho
Malawi
Mali
Mauritius
Morocco
Mozambique
Namibia
Nigeria
Rwanda
Senegal
South Africa
Tanzania
Tunisia
Uganda
Zambia
Zimbabwe