Botswana is currently the world’s second largest producer of diamonds. Some of the world’s largest diamonds have been found here. Diamonds help build Botswana’s infrastructure, support women and combat AIDS. Learn how else diamonds help Botswanans.
Diamonds at the Dawn of Independence
Botswana was ruled by the British Empire from 1885 to 1966. Thought to be a backwater with no natural resources, it was largely ignored by the British Empire. In 1966, it was one of the poorest countries in the world, with a per capita income of around US$ 80 a year. The discovery of diamond deposits changed that. In 1967, a mere year after Botswana’s independence, De Beers discovered an enormous diamond kimberlite pipe in Orapa, a remote region roughly 250 miles from the capital of Gaborone. This kimberlite pipe is the world’s second largest diamond-producing kimberlite pipe. Four years later, the Orapa diamond mine opened for production and became the world’s largest diamond mine by area. The timing of this discovery meant that this new resource could be used for the people of Botswana.
Debswana—a Groundbreaking Partnership
De Beers and Botswana quickly formed a 50-50 joint venture, becoming Debswana, a diamond powerhouse. Together, Debswana owns 4 mines—Orapa, Letlhakane, Jawaneng and Damtshaa—that produced 24% of the world’s diamonds by value in 2018, making it one of the world’s largest producer of diamonds. Debswana is also the second largest employer in the country after the government. Its Jwaneng mine, nicknamed the “Prince of Mines,” is the richest diamond mine in the world, producing the most diamonds by value and is a notable mine in diamond history. The Botswana government owns roughly 15% of De Beers, giving it an enormous say in how revenue from diamonds should be collected and used. Due to negotiation by the Botswanan government, a large portion of the income generated by Debswana goes toward government revenues, and this income helps build schools and roads and get water to homes and farms.
The Diamond Difference—Botswana Becomes a Middle-Income Country
According to Festus Mogae, the third president of Botswana (1998-2008), “every diamond purchase represents food on the table, better living conditions, better healthcare, potable and safe drinking water, more roads to connect remote communities.” With the help of diamonds, Botswana quickly rose from being a low-income to a middle-income country. In 2019, diamonds made up roughly 60-85% of Botswana’s export earnings, 25% of its gross domestic product and one-third of government revenues. They have helped create jobs and helped build roads, hospitals and schools. Diamonds are so important to the country that the back of Botswana’s 20 pula banknote (BWP 20) shows the first diamond processing plant built in Orapa in the late 1960s.
As part of a sales agreement between De Beers and the Botswana government, De Beers agreed to relocate all of the sales and operations of its Diamond Trading Company International (DTCI) from London to the Botswanan capital of Gaborone by the end of 2013. In 2012, De Beers opened the Diamond Trading Company Botswana (DTCB) sorting center in Gaborone and in 2013, DTCI moved their rough sales events (“sights”), shifting billions of dollars of annual rough sales to Botswana. One of the largest and most technologically advanced diamond facilities in the world, the Gaborone facility is a joint venture with the Botswana government.
Diamonds Help Combat AIDS
When the AIDS epidemic struck Botswana in the mid-1980s, much of the progress that Botswana had made over the years came undone as teachers, accountants and other professionals fell ill. President Festus Mogae then agreed to an unprecedented strategy for fighting the epidemic—using government funds to provide HIV/AIDS drugs for every infected citizen. It was the first country in Africa to do so.
Debswana also joined the fight against AIDS. It runs hospitals at the Orapa and Jwangeng mines in partnership with Botswana’s Ministry of Health. These hospitals serve not only miners but also the local community. In 2001, Debswana became the first company in the world to offer free testing and free anti-retroviral therapy to employees and their spouses. In 2008, this free treatment was extended to children. Efforts by Debswana has helped reduce the HIV-related death ra