Botswana and De Beers Forge Deal to Boost Diamond Industry

一月 29, 2025

Botswana’s newly elected president, Duma Boko, has delivered a pivotal breakthrough for the diamond industry, finalizing a landmark agreement with De Beers that ensures long-term stability for the nation’s gem-dependent economy. The deal, which was concluded by midnight on January 24, will provide much-needed certainty for one of the world’s leading diamond producers.

“This issue with De Beers has been settled,” Boko confirmed during an energy conference in Dar es Salaam, Tanzania. He had previously hinted at an imminent resolution while attending the World Economic Forum in Davos, Switzerland, and has now followed through on his commitment to secure Botswana’s economic future.

The agreement maintains the long-standing partnership between Botswana and De Beers, a collaboration that has been the bedrock of the country’s economic growth. Diamonds are the cornerstone of Botswana’s prosperity, with Debswana—a joint venture between De Beers and the government—producing the majority of the country’s rough diamonds.

Boko’s new administration has sought to reassure investors and industry stakeholders by making only minor adjustments to the agreement. The fundamental structure of the 10-year deal, initially outlined by the previous government in July, remains intact. Under the accord, Botswana’s state-owned diamond trader will receive 30% of Debswana’s output, and the government will secure 10 billion pula ($720 million) in development funding.

The deal’s conclusion represents a significant step toward stabilizing Botswana’s economy amid global challenges such as the downturn in diamond demand and the rise of lab-grown alternatives. Boko emphasized that Botswana will continue to promote its diamonds as natural and ethically sourced, ensuring they command a premium in the market.

“We recognize the challenge posed by lab-grown diamonds, but diamonds are natural,” Boko stated. “We will market our diamonds based on their provenance and the development they bring to Botswana.”

With this agreement in place, Botswana reaffirms its position as a leader in the global diamond trade, providing confidence to investors and reinforcing its commitment to sustainable economic growth. The successful negotiations signal a strong, stable future for the nation’s most valuable industry.