Namibia’s diamond mining sector is projected to register a “solid” recovery in 2021, according to the country’s central bank.
The Bank of Namibia said the diamond mining sector is forecasted to record growth rates of 5.4% and 14.1% in 2021 and 2022, respectively.
The central bank said the sector is now expected to record a decline of 24.6% in real terms during 2020.
The Bank of Namibia had last April said that the diamond mining sector is forecasted to decline by 14.9% in real terms during 2020, a downward revision from a growth of 5.3% projected last February.
“Diamonds are considered to be a luxury item, and consumers are expected to shift their focus away from products of this nature as future income remains uncertain,” the central bank said in its August economic outlook.
“Furthermore, travel restrictions, lockdowns and prevention of large gatherings of people have resulted in prospective buyers being unable to attend auctions to view and purchase diamonds.”
The Bank of Namibia said global demand for diamonds had dropped during the first half of 2020, and mines were forced to scale down on production.
De Beers, which mines the bulk of Namibia’s diamonds through Namdeb, recorded a production increase of 7% to 400 000 carats in the second quarter of the year in the southern African country.
Namibia produced just above 2 million carats in 2019, according to the Kimberley Process.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
Exclusive
Mmetla Masire: Okavango to resume diamond sales in January
Botswana’s state-owned Okavango Diamond Company (ODC) is set to resume diamond sales in January 2025, whether the market remains depressed or not. ODC managing director Mmetla Masire told Rough & Polished’s Mathew Nyaungwa on the side-lines of...
Today
Helga Pombal: Angola's Stardiam finds solution to the threat posed by lab-grown diamonds
Stardiam manager of production Helga Pombal told Rough&Polished's Mathew Nyaungwa on the sidelines of the Angola International Diamond Conference that lab-grown diamonds are creating a parallel market for more accessible stones, combined with lower...
11 november 2024
Ellah Muchemwa: ADPA to launch Africa's first diamond mining standard next year
The African Diamond Producers Association (ADPA), which is based in Luanda, Angola, and represents the interests of mainly African diamond producers and those with the potential to produce diamonds, will next year launch the Sustainable Development...
04 november 2024
Dmitry Fedorov: I want our jewelry to be displayed at a museum in the future
Dmitry Fedorov is the founder of the eponymous jewelry house. His main focus is the creation of Orthodox-inspired premium luxury jewelry of high artistic merit. He told Rough&Polished about his journey in the jewelry industry, about choosing the ‘Orthodox...
28 october 2024
Responsible business practices ‘no longer optional’, says WDC President Feriel Zerouki
The president of the World Diamond Council takes time out of her busy schedule to tell Rough&Polished readers about the critical work of the WDC. Zerouki, the first female present of the body, which includes all the important industry organizations among...
14 october 2024
