The economy of Botswana advanced 3.1% year-on-year in the third quarter of 2019, the same pace as in the previous period which was the slowest since the second quarter of 2017. Output continued to fall in mining & quarrying (-2.2% vs -7.9%), mainly attributable to soda ash (-5.8%), coal (-28.7%) and diamonds (-0.7%); water & electricity (-2.4% vs -1.2%) and agriculture (-1.4% vs -0.5%), amid the impact of drought in livestock (-1.1%) and crops (-0.9%). Also, growth slowed further in manufacturing (3.2% vs 3.5%); transport & communication (5.3% vs 5.4%) and trade, hotels & restaurants (5.5% vs 5.7%). Meanwhile, finance & business services advanced faster (6.1% vs 6.0%). On a quarterly basis, the GDP rose 0.2%, following an upwardly revised 1.6% in the previous quarter. GDP Annual Growth Rate in Botswana averaged 4.60 percent from 1995 until 2019, reaching an all time high of 18.20 percent in the fourth quarter of 2002 and a record low of -10.40 percent in the third quarter of 2009. source: Central Statistics Office, Botswana
GDP Annual Growth Rate in Botswana is expected to be 3.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate GDP Annual Growth Rate in Botswana to stand at 4.10 in 12 months time. In the long-term, the Botswana GDP Annual Growth Rate is projected to trend around 4.60 percent in 2020, according to our econometric models.
Botswana GDP Annual Growth Rate
Botswana is considered as a middle-income country having been one of the fastest growing economies in Africa during the last decade. Diamond extraction is the main factor behind high growth rates as it accounts for more than one-third of GDP; almost all export earnings, and half of the government's revenues. Other key sectors are tourism, financial services, subsistence farming, and cattle raising. The largest sector of Botswana economy is trade, hotels & restaurants accounts (24% of GDP), followed by financial & business services (17%); general government (15%) and mining (12%). Other sectors include: construction (9%), community, social & personal service activities (8%); transport, storage & communication (7%), manufacturing (7%), agriculture, hunting & forestry (1%) and electricity, gas & water supply both around (1%).