Botswana and De Beers sign diamond sales agreement renewed for 10 years

After eight years of discussions, Botswana and the De Beers group signed a new diamond sales agreement in Gaborone on Tuesday, marking a key milestone for the country's mining industry. At the ceremony, Botswana's President, Duma Boko, hailed a "good deal" that extends the interim agreement by five years and opens up promising prospects for the national economy.

The revised partnership strengthens the position of Botswana's state-owned Okavango Diamond Company, which will see its share of Debswana's production - a 50:50 joint venture with De Beers - gradually rise to 40% by the end of the agreement, from the original 50%. "Botswana is the best place in Africa to invest and develop economic activities, because we value partnerships," said Boko, optimistic about the long-awaited job creation.

The Minister of Minerals and Energy, Bogolo Kenewendo, pointed out that this agreement extends Debswana's mining licences by 25 years, from August 2029 to July 2054. This extension will enable the joint venture to fully exploit its existing assets and develop projects to extend the life of the mines. "We are entering a new phase of sustainable economic development for Botswana with this historic agreement," she said, praising a renewed partnership with De Beers. "Together, we will build a better future for our country through diamonds."

Kenewendo also expressed the hope that this agreement would stabilise the diamond industry and restore market confidence in a sector that has experienced fluctuations in recent years. Botswana, whose economy is largely based on diamond exports, sees this agreement as a crucial lever for its long-term growth.

For Gift Bakumbi, an independent economist interviewed by Xinhua, this agreement is vital for the southern African country. "Diamonds represent an essential part of our GDP. This partnership with De Beers secures our economic future while enhancing the value of our resources", he analysed. With a diamond industry that represents a strategic financial windfall, Botswana is counting on this collaboration to maintain its global competitiveness.

By consolidating its relationship with De Beers, Botswana is ensuring stability in the exploitation of its mineral wealth while seeking to diversify the benefits for its population. This agreement, the fruit of marathon negotiations, could redefine the economic ambitions of one of Africa's leading diamond producers.