Recovery from COVID-19 impacts underway in Botswana

GABORONE, April 10 — Relief measures implemented by the authorities in Botswana have helped moderate the immediate effects of the COVID-19 pandemic, a latest research by International Monetary Fund (IMF) revealed on Friday.
“A recovery is underway, but uncertainty is high and risks are dominated by the evolution of the pandemic and lower-than-expected diamond revenue,” said Papa N’Diaye, head of the IMF’s African Department Regional Studies Division.
According to the research, advancing fiscal reform, enhancing policy frameworks, and implementing the economic recovery and transformation plan should help secure a balanced recovery, enhance resilience, and transform the economy.
N’Diaye said that the pandemic exacerbated Botswana’s economic challenges, though strict containment measures helped to limit the spread of the virus and save lives.
“The current account deficit widened and foreign exchange reserves dropped further, though remaining above adequate levels,” he said.
The IMF has emphasized that the authorities’ interventions also helped to mitigate immediate macro-financial risks. As the health crisis wanes, COVID-19 related forbearance measures should be unwound, adequate liquidity maintained in the domestic market, risks closely monitored.
N’Diaye said accessing and successfully rolling out vaccines are key to sustaining economic recovery. (Xinhua)