Botswana

Until the global recession, Botswana maintained one of the world's highest economic growth rates since independence in 1966.

Diamond mining fueled much of the economic expansion and currently accounts for one quarter of GDP, approximately 85% of export earnings, and about one-third of the government's revenues. Tourism is the secondary earner of foreign exchange and many Batswana engage in subsistence farming and cattle rearing. Through fiscal discipline and sound management, Botswana transformed itself from one of the poorest countries in the world to a middle-income country with a per capita GDP of approximately $16,900 in 2016. Botswana also ranks as one of the best credit risks in Africa.

Botswana’s economy recovered from the 2008 global recession in 2010, but has only grown modestly since then, primarily due to the downturn in the global diamond market, though water and power shortages also played a role. The prevalence of HIV/AIDS is second highest in the world and threatens the country's impressive economic gains. In 2016, Botswana entered its fourth year of drought, detrimental to Botswana’s small, but vital agriculture sector, but diamond exports increased to their highest levels since 2013, buffering economic growth. As a result, the economy registered 2.9% growth in 2016.

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