Botswana to Double De Beers Stake as Anglo American Exits

What changed

Botswana plans to double its stake in De Beers, from 15% to 30%, as Anglo American sells its 85% holding. President Duma Boko announced the move in Parliament on Monday and endorsed the Global Diamond Consortium’s bid to acquire the company.

If completed, Botswana would become De Beers’ biggest shareholder after Anglo American’s exit.

Why it matters

Botswana is putting more money and political weight behind the industry that built its prosperity, even as that industry weakens.

Global uncut diamond prices fell 32% in the first half of 2026. Demand has also been hit by cheaper lab-grown stones and weaker sales in China. Anglo American suspended production at De Beers’ Venetia mine after investing a reported $2.2 billion to convert it to underground operations.

That leaves Botswana facing a difficult contradiction. Its economy contracted by 2.8% in 2024 and 0.7% in 2025, then grew 8.7% in the second quarter of 2026 as diamond production increased. The rebound looks strong on paper, but it depends on the same market whose decline helped drive the country’s political change.

Boko’s election victory in 2024 ended nearly six decades of Botswana Democratic Party rule. His campaign was linked to economic frustration and promises to reduce dependence on diamonds. Taking a larger stake in De Beers now ties his government more closely to the commodity it promised to move beyond.

The credit markets are already signalling the risk. S&P kept Botswana’s investment-grade rating on a negative outlook in September, citing continued weakness in global diamond demand and the pressure it could place on growth, exports and government revenue.

The transaction’s final terms and completion date are not yet confirmed. But the basic choice is clear: Botswana is betting that greater ownership can protect its diamond future just as the market is making that future harder to defend.