Exchange to Change January 2018 E2C January 2018 web | Page 19

RESEARCH
dependence on diamonds in the past
20 years, but economic diversification
remains a challenge.  For instance, the
non-diamond GDP will need to grow at
an average of 6.4% annually for the
next 20 years (through to 2036) for the
country to reduce the unemployment
rate to 5% (World Bank, 2017).
Moreover, reforms in the areas of tax
administration, state-owned
enterprises, and the labor market that
could strengthen growth prospects
and enhance economic diversification
have been hampered by weaknesses
in implementation capacity and
insufficient coordination or political
support (IMF, 2017). Therefore, the
public sector needs to be managed in a
more efficient way. According to
Botswana’s authorities themselves,
resolving the challenges faced by the
country will require “a fundamental shift
from a diamond and government-driven
growth model to one based on building
human capital and fostering a competitive
private sector” (IMF, 2017). Finally,
attention should be paid to issues
related to women’s representation
and discrimination against minorities,
particularly the San people (World
Bank, 2017; Lewin, 2011).
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Some references
Atsu Amegashie, J. & Kamara, I. (2008). The exceptionality of Botswana:
Economics, politics and challenges. http://www.eisourcebook.org/cms/Dec%20
2012/Botswana,%20Exceptionality%20-%20Economics,%20Politics%20&%20
Challenges.pdf
Brunnschweiler, C. N. & Bulte, E. H. (2008). “The Resource Curse Revisited and
Revised: A Tale of Paradoxes and Red Herrings. http://www.sciencedirect.com/
science/article/pii/S0095069608000193
Collier, P. & Hoeffler, A. (2004). “Greed and Grievance in Civil War. https://
academic.oup.com/oep/article/56/4/563/2361902
Corden,W. M. & Neary, P. J (1982). “Booming Sector and Deindustrialization in a
Small Open Economy. http://www.jstor.org/stable/2232670?seq=1#page_scan_tab_
contents
Hausmann, R. & R. Rigobon. (2003). “An Alternative Interpretation of the
‘Resource Curse’: Theory and Policy Implications.” http://web.mit.edu/rigobon/
www/Robertos_Web_Page/policy_IS_files/is.pdf
Iimi, A. (2007). Escaping from the Resource Curse: Evidence from Botswana
and the Rest of the World. http://link.springer.com/article/10.1057/palgrave.
imfsp.9450020
IMF (2017). Staff Report for the 2017 Article IV consultation in Botswana. https://
www.imf.org/~/media/Files/Publications/CR/2017/cr17249.ashx
Lewin, M. (2011). Botswana’s success: Good governance, good policies,
and good luck. https://openknowledge.worldbank.org/bitstream/
handle/10986/2335/634310PUB0Yes0061512B09780821387450.
pdf?sequence=1#page=97
Sachs, Jeffrey D. & Warner, A. M. (1995). “Natural Resource Abundance and
Economic Growth.” http://www.nber.org/papers/w5398
Sarraf, M. & Jiwanji, M. (2001). Beating the resource curse. The case of Botswana.
http://documents.worldbank.org/curated/en/412021468227707937/pdf/multi0page.pdf
E xchange to change J anuary 2018