25 Sep 2022

The diamond sector rebound is expected to continue with the number of operational factories likely to increase from the current 33 to 38 before the end of the year.

This was revealed by President Dr Mokgweetsi Masisi during the recent Botswana diamond exhibition in New York.

 He noted that such factories numbered 25 in the 2020/21 financial year.

The factories would, when fully operational, provide employment to over 3 000 individuals of mostly young women who had proved to be better polishers than their male counterparts, said the President.

He said having come to the realisation that diamonds were not just about business but represented something far deeper in terms of the nation’s livelihood and development,  government was poised to play a critical developmental role in the exploitation and use of minerals.

President Masisi said Botswana’s diamond beneficiation drive did not stop with diamond cutting and polishing as government planned to pursue partnership and cooperation with the private sector to go into the jewelry manufacturing and retailing.He said diamonds were the backbone of Botswana’s economy and had over the years been managed prudently with good leadership and pragmatic wisdom.

“The fiscal rule for the use of mineral revenues requires that they be invested in physical assets, human capital, financial assets, rather than on recurrent government spending,” President Masisi said.

While the discovery and exploitation of the gems has had a catalytic effect on Botswana’s economic development, President Masisi said that would not have been possible without prudent management of revenues as well as formulation of investment policies and strategies.

“Most importantly, the discovery of diamonds precipitated the formulation of the Mines and Minerals Act and the policy with which to govern and regulate the operation of extractive industries, as well as define the public interest and benefits in the mining industry,” President Masisi said.

For the average citizen, he said, diamonds meant 12 years of almost free basic education; unhindered access to tertiary education underpinned by a government grant/loan scheme to all those with admission qualifying grades.

Additionally, the discovery of diamonds meant accessible and affordable public healthcare services; progressive infrastructure development; employment opportunities and generally improved quality of life, he said.

President Masisi however said in spite of the impressive developmental record, challenges of high youth unemployment and unacceptable poverty still persisted.Government was therefore constantly striving to put in place mitigation measures to ensure no one was left behind in the development agenda, Dr Masisi said.He said various entrepreneurial training and credit support schemes for self-employment and business start-ups were available to the youth and women in particular.The schemes were inclusive with accessible terms and were based on well-thought out polices, stated the President. ENDS