07 Jul 2015

Botswana's economy registered a minimal growth of 4.3 per cent in the first quarter of this year as it continues to face water and electricity challenges as well as a declining mining performance.

The growth in Real Gross Domestic Product (GDP) has been attributed to growth in Trade, Hotels and Restaurants sector, General Government and Finance and Business Services segments, which increased by 6.1 per cent, 5.6 per cent and 5.4 per cent respectively.

Commentary from Statistics Botswana indicates that the Water and Electricity sector and the Agriculture segment recorded a decrease of 1.7 percent and 0.7 percent respectively.

The mining sector growth also increased slightly compared to the same quarter last year. It increased by 1.2 percent compared to 10 percent recorded in the first quarter of 2014.

Statistics Botswana states that the slow increase is attributed to a decline in diamond production at 2.5 percent compared to 33.9 percent in the first quarter of last year.

Copper/nickel production increased by 14.9 percent on year-on-year basis, compared to a decrease of 15.3 percent on quarter-on-quarter basis. The decline has been mainly attributed to the closure of Discovery Mine’s Boseto copper mine in March this year.

Statistics Botswana indicates that there has been improvement in the Water and Electricity sector has been attributed to increase in local production by 63.2 percent while imported power decreased by 16.8 percent. Ends