And it was exactly during this period that the seeds of the crisis were sown in the form of the expansion of credit and leverage, and the increase in maturity mismatches. Financial regulation and supervision Let me now move on to financial regulation and supervision.
The resumption of diamond exports has also led to surpluses in the current account of the balance of payments in recent months, so much so that the foreign exchange reserves are now increasing after months of consistent decline. As intimated earlier, the Bank of Botswana lent support to the domestic economic recovery by easing monetary policy.