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The Economy of Botswana

Motswana (singular), Batswana (p Economy

Botswana's map

Economy - overview: Botswana has maintained one of the world's highest economic growth rates since independence in 1966, though growth slowed to about 5% annually in 2006-08. Through fiscal discipline and sound management, Botswana has transformed itself from one of the poorest countries in the world to a middle-income country with a per capita GDP of nearly $15,800 in 2008. Two major investment services rank Botswana as the best credit risk in Africa. Diamond mining has fueled much of the expansion and currently accounts for more than one-third of GDP and for 70-80% of export earnings. Tourism, financial services, subsistence farming, and cattle raising are other key sectors. On the downside, the government must deal with high rates of unemployment and poverty. Unemployment officially was 23.8% in 2004, but unofficial estimates place it closer to 40%. HIV/AIDS infection rates are the second highest in the world and threaten Botswana's impressive economic gains. An expected leveling off in diamond mining production overshadows long-term prospects.

GDP:

GDP - real growth rate: 3.2% (2008 est.) 3.3% (2007 est.) 5.3% (2006 est.)

GDP - per capita:

GDP - composition by sector: agriculture: 1.6% industry: 52.6% (including 36% mining) services: 45.8% (2008 est.)

Population below poverty line:

Household income or consumption by percentage share: lowest 10%: NA% highest 10%: NA%

Distribution of family income - Gini index: 63 (1993)

Inflation rate (consumer prices):

Labor force: 288,400 formal sector employees (2004)

Labor force - by occupation: agriculture: NA% industry: NA% services: NA%

Unemployment rate: 7.5% (2007 est.)

Budget: revenues: $4.556 billion expenditures: $4.127 billion (2008 est.)

Industries: diamonds, copper, nickel, salt, soda ash, potash; livestock processing; textiles

Industrial production growth rate: 2.4% (2008 est.)

Electricity - production: 979 million kWh (2006 est.)

Electricity - production by source:

Electricity - consumption: 2.574 billion kWh (2006 est.)

Electricity - exports: 0 kWh (2007 est.)

Electricity - imports: 1.959 billion kWh (2007 est.)

Oil - production: 0 bbl/day (2007 est.)

Oil - consumption: 11,640 bbl/day (2006 est.)

Oil - exports: 0 bbl/day (2005)

Oil - imports: 14,500 bbl/day (2005)

Oil - proved reserves: 0 bbl (1 January 2006 est.)

Natural gas - production: 0 cu m (2007 est.)

Natural gas - consumption: 0 cu m (2007 est.)

Natural gas - exports: 0 cu m (2007 est.)

Natural gas - imports: 0 cu m (2007 est.)

Natural gas - proved reserves: 0 cu m (1 January 2006 est.)

Agriculture - products: livestock, sorghum, maize, millet, beans, sunflowers, groundnuts

Exports: $5.127 billion f.o.b. (2008 est.)

Exports - commodities: diamonds, copper, nickel, soda ash, meat, textiles

Exports - partners:

Imports: $3.931 billion f.o.b. (2008 est.)

Imports - commodities: foodstuffs, machinery, electrical goods, transport equipment, textiles, fuel and petroleum products, wood and paper products, metal and metal products

Imports - partners:

Debt - external: $395 million (31 December 2008 est.)

Economic aid - recipient:

Currency:

Currency code:

Exchange rates: pulas (BWP) per US dollar - 6.7907 (2008 est.), 6.2035 (2007), 5.8447 (2006), 5.1104 (2005), 4.6929 (2004)

Fiscal year: