Mmegi

Pula slides

The, pula, which is the local currency, fell by 13.3% against the US dollar in the 12 months to the end of May, according to data collated by the Bank of Botswana (BoB). The depreciation makes the country’s primary export, diamonds, more attractive to international consumers, but increases pressure on key US dollar-denominated imports such as fuel. The central bank noted that over the same period, the local currency also fell by 11.7% against the British pound, 7.4 percent against the Chinese renminbi and 5.4% percent against the Japanese yen. However, the pula appreciated by 10.7% against the South African rand in the 12 months to May. The increase against the rand helps insulate Botswana against exogenous inflation, as South Africa accounts for the bulk of the country’s imports. Other BoB figures show that during May, the pula continued its trend of falling against the hard currencies and gaining against the rand.

BUSINESS MONITOR

en-bw

2023-06-05T07:00:00.0000000Z

2023-06-05T07:00:00.0000000Z

https://enews.mmegi.bw/article/281706914072273

Dikgang Publishing