Stories Across Africa

Botswana's Diamond Shock Widens Development Financing Gap as Fiscal Buffers Weaken Further

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Botswana's Diamond Shock Widens Development Financing Gap as Fiscal Buffers Weaken Further

Botswana's diamond downturn has turned a familiar diversification debate into an immediate financing problem. The economy contracted in 2025 while fiscal and external buffers weakened. The AfDB estimates a $6.2 billion development financing gap.

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