Thursday, March 31, 2011

Botswana economy grows 7.2%

Botswana's economy grew by 7.2 percent in 2010 after shrinking 4.9 percent the year before, data from the Central Statistics Office showed.

“The main drivers to the increase was mining, trade hotels and restaurants and the contractors in the construction industry,” the statistics agency said on its website.

The Bank of Botswana last month left its bank rate unchanged at 9.5 percent, saying the domestic and external economic outlook, as well as the inflation forecast, suggested maintaining the prevailing level was consistent with bringing inflation into a 3-6 percent target band.

The statistics office said earlier this month inflation in the world's largest diamond producer quickened to 8.5 percent year-on-year in February from 7.9 percent in January.

Diamonds account for about 40 percent of the southern African country's GDP. - Reuters