Botswana

In a report published today, Moody's Investors Service says that Botswana's A2 government bond rating with a stable outlook balances the government's relatively strong balance sheet, net external creditor position and its low debt burden against its small economy, which remains heavily dependent on the diamond industry.

At its meeting held on October3, 2013 the Bank of Botswana’s Monetary Policy Committee (MPC) maintained the Bank Rate at 8 percent, the Committee noted the positive medium-term outlook that is expected to keep inflation within the Bank’s 3 – 6 percent inflation objective.

Botswana's central bank cut its Bank Rate by another 50 basis points to 8.00 percent, its third rate cut this year, saying below-trend economic activity and high unemployment "provides scope for monetary stimulus to spur stronger output growth."

Botswana's central bank cut its Bank Rate by 50 basis points to 8.50 percent, saying the economy is growing below potential and unemployment is high and this "provides an opportunity for non-inflationary stimulus to the economy."