Economy of Botswana
Overview
Botswana has maintained one of the world's highest economic growth rates since independence in 1966. Through fiscal discipline and sound management, Botswana has transformed itself from one of the poorest countries in the world to a middle-income country with a per capita GDP of $10,000 in 2005. Two major investment services rank Botswana as the best credit risk in Africa. Diamond mining has fueled much of the expansion and currently accounts for more than one-third of GDP and for 70-80% of export earnings. Tourism, financial services, subsistence farming, and cattle raising are other key sectors. On the downside, the government must deal with high rates of unemployment and poverty. Unemployment officially is 23.8%, but unofficial estimates place it closer to 40%. HIV/AIDS infection rates are the second highest in the world and threaten Botswana's impressive economic gains. An expected leveling off in diamond mining production overshadows long-term prospects.
GDP
Real Growth Rate
5%
Per Capita
USD 10,700
From Agriculture
2%
From Industry
47%
From Services
51%
Labour Force
Available for Work
Unknown
Working in Agriculture
0%
Working in Industry
0%
Working in Services
0%
Unemployment Rate
0%
Population Below Poverty Line
303%
Inflation Rate
9%
Investment as Percent of GDP
20%
Budget
Revenues
USD 3,766 (m)
Expenditures
USD 3,767 (m)
Public Debt
US$ 0.00 (m)
Agricultural Products
Livestock, sorghum, maize, millet, beans, sunflowers, groundnuts.
Core Industries
Diamonds, copper, nickel, salt, soda ash, potash; livestock processing; textiles.
Exports
Value
USD 3,680 (m)
Commodities
Diamonds, copper, nickel, soda ash, meat, textiles.
Partners
European Free Trade Association (EFTA) 87%, Southern African Customs Union (SACU) 7%, Zimbabwe 4%
Imports
Value
USD 3,370 (m)
Commodities
foodstuffs, machinery, electrical goods, transport equipment, textiles, fuel and petroleum products, wood and paper products, metal and metal products
Partners
Southern African Customs Union (SACU) 74%, EFTA 17%, Zimbabwe 4%
External Debt
USD 519 (m)
Fiscal Year
1 April - 31 March
