## Botswana: 2023 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Botswana

_IMF Staff Country Reports, August 31, 2023_

## Source details

**Canonical URL:** [Botswana: 2023 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Botswana](https://www.imf.org/en/publications/cr/issues/2023/08/31/botswana-2023-article-iv-consultation-press-release-staff-report-and-statement-by-the-538736)

## Other formats

- [Markdown version](/en/publications/cr/issues/2023/08/31/botswana-2023-article-iv-consultation-press-release-staff-report-and-statement-by-the-538736/index.md)
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## Bibliographic details
- Published: August 31, 2023
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798400251474.002

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### Economic performance and outlook
- Following a strong recovery of almost 12 percent growth in 2021, Botswana’s economy grew by 5.8 percent in 2022, significantly above the long-run average of 4 percent.
- Growth is expected to slow in 2023 due to a projected decline in diamond production, with the weaker global environment likely to depress other exports.
- Inflation has fallen since August 2022, returning to the central bank’s objective range.

### Fiscal policy stance and plans
- The authorities plan a fiscal expansion in FY2023 followed by two years of substantial fiscal adjustment to reach a small fiscal surplus by FY2025.
- Implementation risks to the planned fiscal adjustment are elevated.

### Structural transformation and policy objectives
- Structural transformation of the economy aims at:
  - diversifying production,
  - increasing the relative size of the private sector,
  - enhancing resilience to external shocks.

### Subject areas and keywords (as listed)
- Central bank policy rate
- Expenditure
- Financial Sector Assessment Program
- Financial sector policy and analysis
- Financial services
- Fiscal policy
- Fiscal stance
- Inflation
- International organization
- Monetary policy
- Prices

- Keywords: Africa, Botswana authorities, Central bank policy rate, Financial Sector Assessment Program, Fiscal stance, Global, government action, Inflation, inflation risk, liability positions vis-à-vis nonresident, PPI coverage, Sub-Saharan Africa, transmission mechanism

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## Content in this bundle

- **1bwaea2023002 — Real Sector Developments**
  - [1bwaea2023002 — Real Sector Developments (Markdown version)](/-/media/files/publications/cr/2023/english/1bwaea2023002.pdf.md){rel="alternate" type="text/markdown"}
  - [1bwaea2023002 — Real Sector Developments (PDF)](/-/media/files/publications/cr/2023/english/1bwaea2023002.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/cr/issues/2023/08/31/botswana-2023-article-iv-consultation-press-release-staff-report-and-statement-by-the-538736_