Preliminary assessment of progress in priority areas under UN-PAAERD in Botswana

Abstract

Since independence the Botswana economy has developed at a rapid pace. Between 1365 and 1934 per capital growth averaged 8.4 per cent. This is one of the highest growth rates in the world. Latest figures show that this momentum has been maintained in recent years: first estimates for the 1385/86 national accounts suggest a growth rate, in terms of constant prices, of around 12 per cent. This estimate is very provisional and should be treated with corresponding caution. Other basic economic indicators also suggest satisfactory performance. Inflation, despite strong pressures from elsewhere in the Southern African region, has been kept within manageable levels at around 10 per cent per annum. Externally, Botswana is in a strong position. It is in this context that the Government must formulate its economic strategy. The aim is for diversified development throughout the economy. This requires the efficient transfer of the surpluses of some sectors - notably mining into productive activity elsewhere.