Diamond-Dependent Botswana Needs Economic Reset, New Leader Says

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(Bloomberg)-President Douma Boko said that the Botswana government will develop new industries, dismantle the benefit of government authority to enhance private investment and increase borrowing discrimination as part of a plan to diversify the diamond-based economy.

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While the gemstones that were extracted by Debswana – a project between the Deals’s Anglo American PLC unit and the government – represent 80 % of Botswana’s economy, it does not create sufficient jobs, which raises the risk of instability in the arid nation of 2.5 million people, Boko said In an interview. The country is the richest Africa in Africa compared to the size of the population.

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Boko, an educated human rights lawyer at Harvard University, dismantled Boko greatly when he canceled the party that was carrying power for almost six decades in the elections in October standards. More than one in four people in Botswana are unemployed.

“The growth levels that we saw in the past were unfortunately unemployed,” Boko, 55, said on the sidelines of the Energy Conference in Dar es Salaam, Tanzania, this week. Among the unemployed, “the majority are young. It is a great danger.”

The elections were held against the background of a long shrinkage in the diamond market, which led to the output of the economic output and led to the expansion of budget deficit. Boko’s umbrella won the democratic change in democratic change 36 seats in the 61 -seat Legislative Council, while the Democratic Potswana Party, which has ruled since independence from the United Kingdom in 1966 to only four seats, was rejected, and its leader, Mokgweetsi Masi, was rejected, president.

Boko said: “The trend was not the place where the country should go,” said Boko. “We have a commitment and then direct it in the direction in which the best population sees.”

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Botswana is an annual income for per siblings of $ 7,820, and is higher than the income rich in oil -rich materials at $ 7,802, and South Africa, the largest economy in the continent. However, there are a few employment opportunities and a limited procedure has been reduced to reduce their dependence on mineral extraction.

Boko has moved quickly to support a long long deal with De Beers to ensure economic stability.

It also intends to develop “climate climate agriculture” and the so -called digital economy, expanding the already successful tourism industry in wildlife and encouraging more local treatment of minerals even “we do not operate our raw raw raw.” Another priority is to reduce Botswana’s dependence on coal to generate electricity and increase its production of renewable energy.

He said: “We will actively develop our solar energy capabilities,” and by 2030, technology should provide half of the Botswana needs. While the country ordered a new coal power plant from Jindal Steel & Power Ltd.

Botswana has one of the ratios of low -debt local products to the continent, which puts it in a position that allows it to borrow more to finance development programs, according to the president, indicating a shift from previous management practices.

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We have had talks with the World Bank, we have had talks with the African Development Bank. They indicated to us that our absorption of the facilities they provided was very low. “These are huge opportunities.”

Boko plans to move forward in a long -term plan to cancel the connection of BOTSWANA Power Corp, a loss in generation, transport and distribution units, and invite investors from the private sector to participate in the transmission.

“There was a change in the guard,” he said. “We trust that we will see growth.”

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-With the help of Globongo Mguyi.

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