Diamond miner De Beers Group has transferred its initial contribution of P1-billion to the Diamonds for Development Fund, in Botswana, marking a major milestone in the progress of the fund and its mandate to support the Southern African country's long-term economic diversification.

The disbursement follows the establishment of the fund’s governance structures, including the appointment of Dr Akinwumi Adesina as the fund’s chairperson, as well as the appointment and onboarding of the ten-person independent board.

The Diamonds for Development Fund was established through the longstanding partnership between the government of Botswana and De Beers Group to support Botswana’s economic diversification by using diamond wealth to catalyse investment to develop new industries, support enterprise, create employment and strengthen long-term economic resilience.

As part of its stakeholder engagements, Adesina hosted the fund's first in-country board meetings, in Gaborone, in September, during which the fund's board held extensive meetings with key stakeholders, including Botswana President Duma Boko, government Ministries, business and industry leaders, financial institutions, academia, development partners and the diplomatic community to share its vision.

The initial contribution from De Beers Group provides the financial foundation on which the Diamonds for Development Fund will build through accessing larger pools of private, domestic and international capital.

“The Diamonds for Development Fund is a strategic instrument for advancing Botswana’s economic transformation. It is about finding new ways to convert the value of our diamond resources into long-term prosperity and investing in the industries, enterprises and capabilities that will drive the next phase of our nation’s development.

"Through the Diamonds for Development Fund, we can create quality jobs, expand opportunities for Batswana and strengthen the foundations of a more diversified and resilient economy. This is about building the future we want for Botswana, leveraging the success of diamonds to create new pathways for growth and shared prosperity,” Botswana Minerals and Energy Minister Bogolo Kenewendo comments.

Adesina adds that the receipt of the initial funding contribution marks an important milestone for the fund, which will now move towards implementation.

"We are excited to get going on our work to support strategic intervention areas to drive economic diversification, industrialisation, export competitiveness and the creation of jobs and prosperity for the people of Botswana,” he says.

De Beers CEO Al Cook, meanwhile, notes that Botswana’s economic progress since independence has benefited from the discovery and recovery of diamonds over many decades.

"We will continue to invest to ensure the future success of Botswana’s diamond industry. At the same time, we are committed to supporting the government’s ambitions to diversify their economy. With the Diamonds for Development Fund, we are proud to work with our partners in government to introduce a new vehicle through which diamond revenues can generate sustainable economic opportunities beyond diamonds.

"The Diamonds for Development Fund now has both an outstanding board and significant funding. I am confident that the Diamonds for Development Fund can accelerate Botswana’s future economic growth and act as an example to the world of the responsible development of natural resources.”