19 Apr 2015

Real GDP increased by 4.4 per cent in 2014, driven mainly by growth in transport and communications, trade, hotels and restaurants and mining. 

Information from Statistics Botswana indicates that the three sectors grew by 7.4, 7.1 and 4.5 per cent last year respectively. 

Although the economy registered growth, it slowed from the 2013 revised growth of 9.3 per cent. 

The information also shows that mining continues to play a major role in the economy, with its overall contribution to GDP growing to 22.9 per cent from 21.9 per cent in 2013. 

Statistics Botswana states that in the third quarter of 2014, there was strong performance by Jwaneng mine where higher diamond grades were produced. 

The contribution was also improved by the inclusion of other mines in the accounts, Lucara diamond mine, Boseto copper mine and Missana copper mine.

Sectors which slipped during 2014 are agriculture and water and electricity. 

Challenges in electricity supply continue to hamper economic growth as water and electricity sector declined by 18.5 per cent as demand continued to outstrip supply while agriculture also declined by 0.3 per cent. 

Meanwhile, the International Monetary Fund (IMF) has projected the local economy to register growth of 4.2 per cent this year. 

In the World Economic Outlook report released April 14, the IMF further projects the local economy to slow down slightly to 4 per cent next year. ENDS