Citi Sees Botswana Devaluing Currency Again as Diamond Prices Slump

Bloomberg

6 days ago

Citigroup Inc. says Botswana is likely to devalue its currency again, as the southern African nation battles a downturn in revenues linked to the sharp collapse in global diamond prices, its main revenue source.
The Bank of Botswana, earlier this month announced it will allow the pula to weaken as much as 2.76% against a basket of other currencies this year, more than the initial target of 1.51% in order to boost exports. The pula has already weakened 3.35% against the US dollar year to date, making it the fifth worst-performing currency in Africa, according to data compiled by Bloomberg.