Though the warning signs were on the wall – trust-based banking in the diamond sector seems all but dead. Three specifically named mammoth Indian diamond firms have apparently made some astonishingly brazen propositions to two of their leading lenders (ADB/KBC and Standard Chartered Bank). “We want an immediate haircut of 70% – and the remaining 30% we shall repay in a ten-year period. If you don’t take it, you won’t see any money.”
De Beers Mining Division reported a spike in rough diamond production and sales during the second quarter, noting stable trading conditions and an increased contribution from its recently launched Gahcho Kué mine in Canada.