Botswana : 2002 Article IV Consultation— Staff Report; Staff Statement; and Public Information Notice on the Executive Board Discussion

This 2002 Article IV Consultation highlights that real GDP growth of Botswana slipped to an estimated 11⁄4 percent in 2001/02 (July–June), largely reflecting a downturn in the global diamond market and a drop in Botswana’s diamond production. The non-mining sectors performed better, especially the service industries. Their success is in part a product of Botswana’s market-friendly environment, sound macroeconomic policies, and investments in education and physical infrastructure. The overall fiscal balance moved into deficit in 2001/02 (April–March), only the second deficit in 20 years