Investment Policy Review - Botswana

image of Investment Policy Review - Botswana

Foreign Direct Investment (FDI) has been the driving force in moving the economy of Botswana from that of a least developed country status to one of a middle-income country. The country aims to continue this rapid growth while at the same time diversifying its economy. This paper reveals how the government plans to develop national business development through citizen empowerment, while at the same continuing to seize opportunities to attract FDI. The following topics are covered in this report: Botswana's track record in attracting FDI, the investment framework for FDI in Botswana, the impact of FDI on Botswana's national development objectives, and proposed recommendations and conclusions with regard to FDI policy in that country.



Botswana: Key economic and social indicators

Botswana became an independent democratic republic in 1966 after 80 years of rule as a British protectorate. The constitution adopted at independence vests legislative power in a parliament comprising the National Assembly (with 40 elected members), the President, a speaker, the attorneygeneral and four members nominated by the Government. The country is democratically ruled and boasts a stable political environment. The Botswana Democratic Party has been a major political force. Botswana is the second largest producer of diamonds (by volume) in the world after Australia, and the largest in terms of output value. Until the 1990s, it was the fastest growing economy in the world.


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