Botswana has over the years consistently ranked highly on economic and development indicators compiled by internationally recognized rating agencies such as a Business report. Transparency International. Ease of Doing Business Report (World Bank)
Why invest in Botswana
Strategically located at the heart of Southern Africa, Botswana offers excellent opportunities for investment. Botswana has managed to maintain a stable and growing economy since its independence in 1966. According to the United Nations, “Botswana’s greatest assets are peace, law & order, disciplined fiscal and monetary policies, and capable public institutions.”
Botswana has over the years consistently ranked highly on economic and development indicators compiled by internationally recognized rating agencies such as:
- Business report
- Transparency International
- Ease of Doing Business Report (World Bank)
- Heritage Foundation
- Moody’s
- Standard & Poors
- The Global Competitiveness Report (World Economic Forum)
- Global Rating Agencies
- The World Economic Forum’s (WEF) Global Information Technology Report (GITR)
- Corruption Perception Index
In her effort to attract Foreign Direct Investment, Botswana offers the following investment incentives:
- The low tax regime in the region:
- 15% for manufacturing, financial services companies, and companies registered in the innovation hub;
- 22% corporate tax for others;
- Low personal income tax of up to 25%;
- 12% Value Added Tax
- Possible tax holidays for 5-10 years
- Free repatriation of profits
- Customs Duty Draw Back Facility, Free importation of raw materials, machinery, and equipment;
- Great market access opportunities:
- Duty-Free Quota Free Market Access to more than 50 million consumers in Botswana, South Africa, Namibia, Lesotho, and Eswatini;
- Preferential market access to more than 345 million consumers in the SADC region;
- Duty-Free Quota Free Market Access to the USA;
- Duty-Free Quota Free Market Access to the European Union;
- Double taxation agreements in place with South Africa, United Kingdom, Sweden, Mauritius, India, and Russia;
- Botswana has a record of harmonious industrial relations, which aim to protect the interests of both workers and employers;
- Botswana offers a thriving domestic financial sector, which includes banks, insurance companies, and a growing stock market. Botswana has acceded to international conventions and is strictly observing internationally accepted guidelines on combating money laundering and financial crime.
What is the best investment in Botswana?
Investment Opportunities in Botswana
- Mining industry.
- Manufacturing industry.
- Power/Energy industry.
- Education industry.
- Arts’ industry.
- Agricultural industry.
- Transport industry.
- Financial and business services industry.
Why is trade important to Botswana?
Botswana’s trade balance is tied largely to the global demand for diamonds, which represents over 80 percent of the country’s export revenues. Customs revenue from the Southern African Customs Union (SACU) and diamond revenue each contribute about one-third of total GoB revenue.
How can I invest in stock in Botswana?
The first step to buying shares is approaching a licensed BSE Broker.
To comply with KYC guidelines, you will require the following to open a CSD account as an individual:
- Certified Copy of ID/Valid Passport.
- Proof of Residence (Utility Bill/Lease Agreement/Affidavit)
- Proof of Income (Payslip and/or Bank Statement)
Can foreigners invest in Botswana?
Furthermore, to assist foreign investors, the government has created the Botswana Investment and Trade Centre (BITC). The country’s strengths lie in its low levels of corruption (the lowest in Africa), its good economic governance, its liberal tax system, and its stable democracy.