Despite one of the toughest stretches the global diamond industry has faced, De Beers contributed an estimated P11.31 billion to Botswana’s economy in 2025, underscoring the company’s lasting economic importance.
The latest data reveals that although global diamond demand remained soft, the miner still generated billions through taxes, local procurement, wages, and shareholder returns. These results highlight Botswana’s ongoing reliance on the diamond sector, even as the industry undergoes significant structural shifts.
Anglo American’s 2025 Tax and Economic Contribution Report shows that De Beers created an estimated US$832 million (about P11.31 billion) in total economic value for Botswana during 2025; just slightly below the US$844 million (P11.47 billion) recorded the year before. The report details the company’s impact through taxation, procurement, employment, capital investment, and community development.
Anglo American, which owns 85 percent of De Beers while the Government of Botswana holds a 15 percent stake, noted that De Beers and its partners still account for roughly one-third of global rough diamond production by value, despite ongoing weakness in international diamond markets.
Procurement remained the biggest driver of the company’s economic footprint. De Beers spent US$344 million (P4.67 billion) on procurement during the year, with US$300 million (P4.08 billion) going to local suppliers; highlighting its continued backing of Botswana’s domestic business ecosystem. Capital expenditure hit US$183 million (P2.49 billion) as investments across operations continued.
Employment also stayed a key source of economic activity. The company paid US$233 million (P3.17 billion) in salaries and employee-related costs in 2025, down slightly from US$247 million (P3.36 billion) the previous year, keeping De Beers among Botswana’s top private-sector employers.
Government revenue flows remained strong. De Beers contributed US$244 million (P3.32 billion) through taxes, royalties, and other statutory payments. This included US$93 million (P1.26 billion) in corporate income tax, US$95 million (P1.29 billion) in royalties and mining taxes, US$21 million (P285 million) in other company-borne payments, and US$34 million (P462 million) in taxes collected on behalf of the government.
Beyond these statutory payments, Botswana also benefited from its equity stake in the mining giant. Government earnings from this shareholding surged to US$72 million (P979 million), more than doubling from US$30 million (P408 million) in 2024.
However, community investment took a significant hit. De Beers allocated US$10 million (P136 million) to social development initiatives in Botswana, down from US$35 million (P476 million) the year before, reflecting the broader cost pressures hitting the global diamond industry.
This report arrives as Anglo American pushes forward with plans to separate from De Beers, either through divestment or demerger. The company says this move is meant to let De Beers focus on its long-term growth strategy announced in 2024, centered on operational efficiency, streamlining, and creating value.
The numbers paint a picture of both resilience and vulnerability in Botswana’s economy. While De Beers continues to generate billions in economic value despite weak diamond prices, nearly every major category, including procurement, wages, and overall economic value, fell compared to 2024, showing how weaker global demand directly affects Botswana’s fiscal and economic health. The sharp rise in dividend income to the government shows that equity ownership remains a valuable revenue source beyond just taxes and royalties. But the drop in community investment suggests that discretionary spending is often the first to be cut during industry downturns.
As Anglo American moves toward its separation from De Beers, Botswana faces a critical strategic crossroads. The country’s long-term economic strength will increasingly hinge on speeding up mineral beneficiation, growing non-diamond industries, and boosting economic diversification to soften the blow of global diamond market swings. The 2025 figures make it clear that while De Beers remains Botswana’s economic backbone, sustainable national growth will require broadening the engines of economic activity beyond diamonds alone.
