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Balance of Payments and International FDI Position in Botswana: FY2019/20

Balance of Payments and International FDI Position in Botswana: FY2019/20

Balance of Payments and International FDI Position in Botswana: FY2019/20
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  • Last Updated Apr 22, 2020

Balance of Payments and International FDI Position in Botswana: FY2019/20

Botswana's merchandise export earnings have been volatile since 2016. The volatility in exports has not resulted in deterioration of gross official reserves due to the persistent current account surplus which has improved the balance of payments. The balance of payments recovered from a deficit to a surplus in 2017 supported by the current account surplus and inward foreign direct investment (FDI) flows; despite the persistent outward FDI outflows. These capital flows have improved Botswana’s balance of payments and the country’s net international FDI position. Botswana’s balance of payments surplus is projected to continue growing consistently, which is projected to support a strong recovery in gross official reserves in the medium-term.

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