Fewer diamonds from the mines: Botswana will cut back its 2025 output of diamonds by 16% in comparison to the year before.
With global demand for diamonds falling and lab-grown diamonds becoming a cheaper alternative, diamond mining companies are struggling. And for a country like Botswana, where diamonds make up 80% of its export revenue, this situation is especially hard-hitting.
Debswana, which is Botswana’s largest diamond production company, accounting for 90% of sales, saw its revenue drop by almost half last year.
Faced with the weak global demand, Debswana announced in May that it would temporarily pause production at its flagship Jwaneng mine as well as at the Orapa mines, the world’s largest by area.
To give the economy a small boost, Botswana’s president has called for diamonds to be polished and cut locally instead of exporting the precious stones raw.
But the country will likely need to diversify its revenue further in order to help its faltering economy back on its feet.
Source: Africanews
