Unplanned Plans!

Apr 1, 2015 | Kashmir Images
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In 1961, diamond-rich Botswana and Sierra Leone had approximately the same per capita income of about US$1,070, however, both these countries in Africa adopted and experienced extremely different paths of economic development. While diamonds caused an economic miracle in Botswana, the same diamonds led to a total state collapse in Sierra Leone. In Botswana the extraction and export of diamonds became the engine of rapid economic growth. The country maintained a stable and well-functioning democracy since independence and enjoyed steady leadership of democratically elected presidents. This has allowed Botswana’s economy to prosper; per capita income is currently at around US$9,000. By contrast, Sierra Leone’s recent history is a tragedy. Diamond wealth in combination with poor governance led to the state’s collapse and created the incentive, as well as the opportunity for a rebellion throughout the 1990s. Sierra Leone is now ranked among the poorest countries in the world, with per capita income of about US$480.