Latest news with #GovernmentofBotswana
See - Sada Elbalad
3 days ago
- Business
- See - Sada Elbalad
Africa's Diamond Giant Slashes Output Amid Global Market Weakness
Waleed Farouk In the heart of Africa, the global diamond industry was rattled by a major announcement from Debswana, one of the world's largest diamond producers, revealing a significant cut in its output amid a prolonged slump in the global market. The story began when the company — a joint venture between the Government of Botswana and mining giant De Beers — disclosed that its annual diamond production fell by 27% in 2024, dropping to just 17.93 million carats. This downturn is not temporary. The company anticipates further cuts in 2025, aiming for only 15 million carats — its lowest output in years. Behind the decision lies a chain of challenges impacting the luxury industry, especially a noticeable drop in global demand for rough diamonds, stockpiling issues, and new U.S. tariffs that disrupted exports — particularly from India, a key hub for diamond cutting and trading. Faced with mounting pressures, Debswana moved to suspend several of its mining operations, including units at Jwaneng and Orapa, and to delay capital projects. However, it confirmed that it would continue developing its ambitious underground Jwaneng project — a strategic investment in the future of Botswana's mining. The implications go far beyond company boundaries. Botswana's economy, heavily reliant on diamond exports, has been directly impacted. According to government data, diamonds accounted for 30% of the state's revenue and 75% of its foreign currency reserves in 2024. Still, that year saw the national GDP contract by 3%, with the IMF forecasting a further 0.4% decline in 2025. Amid these setbacks, Debswana emphasized that it would prioritize voluntary separation packages to avoid forced layoffs, as the company braces for a prolonged market downturn while hoping for a future rebound. read more CBE: Deposits in Local Currency Hit EGP 5.25 Trillion Morocco Plans to Spend $1 Billion to Mitigate Drought Effect Gov't Approves Final Version of State Ownership Policy Document Egypt's Economy Expected to Grow 5% by the end of 2022/23- Minister Qatar Agrees to Supply Germany with LNG for 15 Years Business Oil Prices Descend amid Anticipation of Additional US Strategic Petroleum Reserves Business Suez Canal Records $704 Million, Historically Highest Monthly Revenue Business Egypt's Stock Exchange Earns EGP 4.9 Billion on Tuesday Business Wheat delivery season commences on April 15 News China Launches Largest Ever Aircraft Carrier Sports Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer Lifestyle Get to Know 2025 Eid Al Adha Prayer Times in Egypt News Prime Minister Moustafa Madbouly Inaugurates Two Indian Companies Business Fear & Greed Index Plummets to Lowest Level Ever Recorded amid Global Trade War Arts & Culture Zahi Hawass: Claims of Columns Beneath the Pyramid of Khafre Are Lies News Flights suspended at Port Sudan Airport after Drone Attacks News Shell Unveils Cost-Cutting, LNG Growth Plan Videos & Features Video: Trending Lifestyle TikToker Valeria Márquez Shot Dead during Live Stream Technology 50-Year Soviet Spacecraft 'Kosmos 482' Crashes into Indian Ocean
Zawya
27-02-2025
- Business
- Zawya
Government of the Republic of Botswana And De Beers Group Confirm Diamond Partnership For The Next Generation
Transformational agreements boost Botswana's economic development potential and secure De Beers' long-term share in world's greatest diamond resources HONG KONG SAR - Media OutReach Newswire - 27 February 2025 - The Government of the Republic of Botswana (the "Government of Botswana") and De Beers Group ("De Beers") announced that, following the conclusion of negotiations announced on 3 February 2025, the two partners have now signed the formal new agreements for a 10-year Sales Agreement (which may be extended by a further 5 years) and a 25-year extension of the Mining Licences (from 2029 through to 2054) for the 50:50 Debswana mining joint venture. Honourable Bogolo Joy Kenewendo, Minister of Minerals and Energy for Botswana, said: "We are proud to announce the signing of this landmark new agreement, which will underpin the success of our diamond industry as we enter an exciting new phase of Botswana's sustainable economic development. We hope that these agreements will bring some level of stability and rebuild market confidence in the diamond industry. We are looking forward to our renewed partnership with De Beers; together we will drive development through diamonds and build a brighter future for Batswana." Al Cook, Chief Executive Officer of De Beers Group, said: "These are groundbreaking agreements. The half-century partnership between the Government of Botswana and De Beers is considered the greatest public-private partnership in the world. Now we are both extending and improving it. For De Beers, it is a privilege to secure our ongoing participation in the world's greatest diamond resources for decades to come. I am also extremely proud that through the Diamonds for Development Fund, we can further transform opportunities for the people of the world's leading diamond country." In summary, the formal agreements represent: A 25-year extension of the Debswana mining licences from August 2029 to July 2054. This will enable the Debswana joint venture to deliver long-term value from its existing mining assets and mine life extension projects beyond the current mining licence period. Mine life extension projects include Jwaneng Cut-9, Jwaneng Underground and Orapa Cut-3. A renewed 10-year Sales Agreement for Debswana's rough diamond production, with a further five-year extension period where certain criteria are met. Under the renewed Sales Agreement, the Government of Botswana's rough diamond sales company, Okavango Diamond Company ("ODC"), will sell 30% and De Beers will sell 70% of Debswana's production for the first five years; for the subsequent five years ODC will sell 40% and De Beers will sell 60% of Debswana's production; and both parties will sell a 50% share for the five-year extension period. As part of this arrangement, De Beers and ODC have also both committed to supply diamonds for beneficiation in Botswana in line with their share of Debswana supply. In addition, a transformational package of commitments focused on supporting Botswana's economic development objectives and advancement of the diamond industry has been agreed, including: The creation of the Diamonds for Development Fund to support economic growth, diversification and jobs in Botswana in line with Botswana's Vision 2036 and National Development Plan. De Beers has committed to an upfront investment of BWP 1 billion (c. $75 million) and further annual contributions from its dividends from Debswana, based on Debswana's performance. A package of initiatives to be undertaken by De Beers designed to enhance local beneficiation of diamonds and increase participation of the people of Botswana in the diamond industry. These include investment in a diamond jewellery manufacturing facility, establishment of a De Beers Institute of Diamonds grading laboratory and starting up a diamond vocational training institute in collaboration with industry partners. Co-investment by the Government of Botswana and De Beers in marketing initiatives to boost diamond demand. The marketing investments will be for category and other marketing programmes, agreed annually, aimed at stimulating rough diamond sales, protecting the ethical integrity of diamonds, and to maintain and build consumer confidence in the product. De Beers and the Government of Botswana have committed to co-invest over the life of the Sales Agreement and in proportion to their relative shares of Debswana supply. Hashtag: #DeBeersGroup #Debswana #Botswana The issuer is solely responsible for the content of this announcement. About Botswana Botswana, a thriving democracy, is located in Southern Africa. It is the topmost producer of diamonds by value. Botswana is renowned for the rule of law, including respect for property rights. Heralded for its ease of doing business in the mining sector, it is by no coincidence that it is a premier investment destination for mining. The Botswana government has placed a strong emphasis on effective management of its diamond resources, recognizing their pivotal role in the nation's economic development. By exercising careful oversight and strategic partnerships, Botswana maximises revenue from diamond sales, strengthening its position as a key player in the global diamond market and ensuring that these valuable resources drive sustainable socio-economic growth. With a focus on sustainable practices, the government is dedicated to ensuring that the wealth generated from diamond mining contributes significantly to the welfare of its citizens. Revenue from these sales is strategically reinvested to foster growth, infrastructure development, and social programmes, ultimately positioning Botswana as a stable and prosperous socio-economic hub in the region. This commitment underscores the government's vision of enhancing the livelihoods of its people while promoting overall national prosperity, thereby solidifying Botswana's reputation as a forward-thinking and resilient nation in the face of global economic challenges. About De Beers Group Established in 1888, De Beers Group is the world's leading diamond company with expertise in the exploration, mining, marketing and retailing of diamonds. Together with its joint venture partners, De Beers Group employs more than 20,000 people across the diamond pipeline and is the world's largest diamond producer by value, with diamond mining operations in Botswana, Canada, Namibia and South Africa. Innovation sits at the heart of De Beers Group's strategy as it develops a portfolio of offers that span the diamond value chain, including its jewellery houses, De Beers Jewellers and Forevermark, and other pioneering solutions such as diamond sourcing and traceability initiatives Tracr and GemFair. De Beers Group also provides leading services and technology to the diamond industry in the form of education and laboratory services and a wide range of diamond sorting, detection and classification technology services. De Beers Group is committed to ' Building Forever,' a holistic and integrated approach for creating a better future – where safety, human rights and ethical integrity continue to be paramount; where communities thrive and the environment is protected; and where there are equal opportunities for all. De Beers Group is a member of the Anglo American plc group. For further information, visit De Beers Group
Zawya
27-02-2025
- Business
- Zawya
Botswana and De Beers'; marketing push to revive diamond demand
As global diamond sales continue to decline, Botswana and De Beers have announced a strategic marketing initiative aimed at reinvigorating consumer interest in natural diamonds. Downturn This move comes amid a significant downturn in the market, with natural diamond prices falling by 26% over the past two years and lab-grown diamonds experiencing an even sharper price drop of 74% since 2020. In response, the two entities have committed to co-investing in marketing efforts designed to protect the long-term value of natural diamonds and restore consumer confidence. The marketing campaign will focus on category marketing and other promotional efforts, agreed upon annually, to bolster the ethical and symbolic value of natural diamonds. De Beers and the Government of Botswana will share the financial responsibility for these initiatives based on their respective shares of Debswana's diamond supply. The challenges facing the diamond industry have been underscored by De Beers' recent sales figures. In 2024, De Beers' sales of rough diamonds fell for the second time in the year, recording a provisional $315m—down from $383m in the previous cycle and a significant drop from $456m at the same time in 2023. While De Beers attributed the decline to the traditionally quieter summer period, industry experts argue that the results reflect a market that remains under pressure, with demand struggling to recover. Transformation The diamond industry is undergoing a profound transformation, with shifting consumer preferences and ethical considerations reshaping the market. Lab-grown diamonds have gained traction as a seemingly sustainable alternative - although that has been greatly debated - leading to an overall decline in demand for traditionally mined diamonds. Whether this marketing initiative will be enough to counteract broader market trends remains to be seen, but it represents a clear effort to safeguard an industry that has long been a cornerstone of Botswana's economy and De Beers' global operations.
Zawya
10-02-2025
- Health
- Zawya
Botswana undertakes Health Vulnerability and Adaptation Assessment: A move towards a resilient health system on impacts of climate change
The Government of Botswana conducted a Climate Change Health Vulnerability and Adaptation Assessment in selected districts to identify high-risk areas and vulnerable populations affected by climate change. The objective was to strengthen the country's health sector to effectively and efficiently respond to climate-related impacts. The assessment report, based on climate scenarios, provides evidence that Botswana is highly vulnerable to climate change. It highlights that key economic sectors will face increasing risks unless effective adaptation and mitigation measures are implemented. The report also underscores the impact of climate change on health through multiple pathways, including extreme weather events, air pollution, food insecurity, and the spread of waterborne and climate-sensitive diseases. These challenges are expected to place growing pressure on the health system, necessitating urgent action. The findings offer a critical baseline for monitoring changes in disease risks, outbreaks, and preventive measures while strengthening the understanding of the linkages between climate change and health. These insights will play a key role in enhancing Botswana's health system by informing policies and guiding the development of the National Health Adaptation Plan (H-NAP). With seed funding from the Wellcome Trust, WHO's country office recruited a consultant to assess both current and projected climate change impacts on health, malnutrition, and disease burden in Botswana. The assessment examined direct effects, environmentally mediated impacts, and socially mediated influences using available data. It also analyzed health system vulnerabilities, adaptation capacities, and at-risk populations, with a focus on children, gender, and equity. The methodology included a desk review of data, policies, guidelines, and standard operating procedures (SOPs) from the Ministry of Health and other key sectors. Additionally, field visits were conducted to health facilities in the selected districts, where health workers were interviewed. On December 10, 2024, WHO provided technical and financial support to the Ministry of Health to convene key stakeholders, partners, and the Vulnerability&Adaptation (V&A) Steering Committee for a consultation and consensus-building meeting. During this session, the consultant presented the draft assessment report, and stakeholders provided comments and recommendations that further strengthened the findings. Participants included experts from academia (University of Botswana and Botswana Agricultural College), research institutions (Okavango Research Institute), and key representatives from the Ministry of Health, Department of Meteorological Services, Ministry of Agriculture, Ministry of Local Government, and Statistics Botswana. Additionally, the Red Cross and various community-based organizations (CBOs) were represented. Distributed by APO Group on behalf of World Health Organization (WHO), Botswana.
