Overview: The economy has historically been based on cattle raising and crops. Agriculture today provides a livelihood for more than 80% of the population, but produces only about 50% of food needs. The driving force behind the rapid economic growth of the 1970s and 1980s has been the mining industry. This sector, mostly on the strength of diamonds, has gone from generating 25% of GDP in 1980 to 50% in 1991. No other sector has experienced such growth, especially not agriculture, which is plagued by erratic rainfall and poor soils. The unemployment rate remains a problem at 25%. Although diamond production was down slightly in 1992, substantial gains in coal output and manufacturing helped boost the economy. Recovery in sluggish diamond markets in second half 1993 helped Botswana achieve moderate growth of 3% for the year.

National product: GDP - purchasing power equivalent - $6 billion (1993 est.)

National product real growth rate: 3% (1993 est.)

National product per capita: $4,500 (1993 est.)

Inflation rate (consumer prices): 14% (1993 est.)

Unemployment rate: 25% (1993 est.)

Budget:
revenues: $1.7 billion
expenditures: $1.99 billion, including capital expenditures of $652 million (FY94)

Exports: $1.7 billion (f.o.b. 1992)
commodities: diamonds 78%, copper and nickel 6%, meat 5%
partners: Switzerland, UK, SACU (Southern African Customs Union)

Imports: $1.8 billion (c.i.f., 1992)
commodities: foodstuffs, vehicles and transport equipment, textiles, petroleum products
partners: Switzerland, SACU (Southern African Customs Union), UK, US

External debt: $344 million (December 1991)

Industrial production: growth rate 6.8% (FY91); accounts for about 53% of GDP, including mining

Electricity:
capacity: 220,000 kW
production: 901 million kWh (in addition 228,000,000 kWh were imported)
consumption per capita: 874 kWh (1992 est.)

Industries: mining of diamonds, copper, nickel, coal, salt, soda ash, potash; livestock processing

Agriculture: accounts for only 5% of GDP; subsistence farming predominates; cattle raising supports 50% of the population; must import up to of 80% of food needs

Economic aid:
recipient: US aid (1992), $13 million; Norway (1992), $16 million; Sweden (1992), $15.5 million; Germany (1992), $3.6 million; EC/Lome-IV (1992), $3-6 million in grants; $28.7 million in long-term projects (1992)

Currency: 1 pula (P) = 100 thebe
Exchange rates: pula (P) per US$1 - 3.1309 (January 1994), 2.4190 (1993), 2.1327 (1992), 2.0173 (1991), 1.8601 (1990), 2.0125 (1989)

Fiscal year: 1 April - 31 March

NOTE: The information regarding Botswana on this page is re-published from the 1995 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Botswana Economy 1995 information contained here. All suggestions for corrections of any errors about Botswana Economy 1995 should be addressed to the CIA.