Anglo American PlcBotswana’s president, Duma Boko, says his government is determined to conclude a deal to take control of De Beers, the world’s best-known diamond producer, by the end of October.
The move would mark a historic shift in ownership of a company that has long shaped the global diamond trade, while reflecting Botswana’s broader ambitions to assert economic sovereignty in a moment of financial strain.
“We are more than ready for the transaction, and we’ve said the transaction must be concluded by the end of October. It’s a matter of economic sovereignty for Botswana,” Boko said in an interview with Bloomberg Television during his trip to New York.
London-based Anglo American Plc currently owns 85% of De Beers and has signaled its intent to sell the stake as part of a restructuring plan launched 16 months ago.
The mining giant has been under pressure to simplify its business after years of sluggish demand for natural stones and rising competition from lab-grown diamonds, which sell for a fraction of the cost. In February, Anglo wrote down De Beers’ value to $4.9 billion.
Botswana, which already holds 15% of De Beers, is now looking to secure a controlling stake. According to Boko, his government is in talks with several financing partners, including Oman’s sovereign wealth fund, to lift its shareholding above 50%. Anglo confirmed it is “continuing to engage” with Gaborone as a partner, though no final agreement has been reached.
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The urgency is clear. Diamonds account for roughly 80% of Botswana’s export earnings and a third of government revenue. Yet falling prices have battered the economy, prompting S&P Global Ratings this month to cut the country’s long-term sovereign credit rating.
The ratings agency expects the economy to contract for a second straight year in 2025. In August, Boko declared a public health emergency, citing shortages in funding for medical supplies linked to dwindling diamond revenues.
Botswana’s diamond partnership with De Beers dates back decades through Debswana, a joint venture in which each side holds 50%. But sales from Debswana plunged 46% last year, showing the severity of the market downturn.
The president argues that greater national control of De Beers would give Botswana more influence over the international supply chain and help preserve the primacy of natural diamonds over lab-grown alternatives. “Anyone who is in love and who wants to get married should shun engagement rings with synthetic stones,” Boko said.
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Beyond the ownership battle, Botswana is also pressing the United States, the largest market for natural diamonds, to lift tariffs on its gems. Boko said he expects progress by the end of the year after planned talks with Commerce Secretary Howard Lutnick.
De Beers, which competes with Russia’s Alrosa as the world’s largest diamond producer, is itself at a crossroads. Anglo has weighed options, including an initial public offering or a demerger of the unit, though it has indicated a preference for an outright sale. Interest has surfaced from former De Beers executives and other investors.
For Botswana, the timing is critical. Securing majority control of De Beers could give the country a stronger hand in navigating a turbulent diamond market and in reshaping the narrative of an industry under siege from synthetic alternatives.
