IN PHAKALANE, an affluent suburb of Botswana’s sleepy capital Gaborone, a modern assembly line spits out thousands of batteries destined for southern African cars. Whether in glitzy Bentleys beloved of the South African elite or the beaten-up Toyotas swerving to avoid Harare potholes, the devices made by employees of Chloride Exide keep the region moving.
Yet trouble is brewing just beyond the factory gates. Less than 25 miles (40km) away in South Africa, the company’s largest export market, an economic slowdown has crippled demand. In the past year some 30,000 fewer batteries than usual were shipped across the border. To make things worse sales to Zimbabwe, once a big buyer, have been hit by import restrictions.
Without thriving neighbours, Botswana finds itself in a tricky situation. It is blessed with natural resources—mainly diamonds but also copper, nickel and beef. Income per person was $6,510 in 2015, making Botswana an upper-middle-income nation. The World Bank rates it an easier place to do business than China. Yet as its diamond reserves dwindle, it is scrambling for a new economic model.
In September Botswana...Continue reading
Source: Middle East and Africa http://ift.tt/2hXJPFa
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