CIPA’s campaign to clean up its company register may be achieving its regulatory objectives, but it also raises an uncomfortable question as to why does compliance cost so much more in Botswana than elsewhere in Southern Africa?
A report by the Small Business Association of Botswana (SBAB)Trust released earlier this year argues that the country’s company compliance regime has become one of the most expensive in the region, placing a disproportionate burden on small businesses.
Botswana charges P500 for annual returns, compared with about P190 in Lesotho, P232 in Namibia and P184 in Zambia. By the association’s calculations, Botswana’s annual filing fee is roughly two to three times higher than comparable jurisdictions.
The gap widens further when companies fall out of compliance. A deregistered company seeking restoration in Botswana must pay P2,500, a figure enshrined in the Companies Act. The association’s regional analysis found equivalent restoration costs of around P114 in Lesotho and P863 in Zambia.
For a micro-enterprise generating less than P200,000 in annual revenue, the association estimates that the combined P500 annual return fee and P500 constitution filing charge can amount to between 1% and 2% of annual turnover.
Businesses that missed the September 30, 2026 constitution deadline have been deregistered, triggering restoration costs that many small enterprises say they cannot afford. The same report notes that firms must also pay a once-off P500 constitution submission fee introduced as part of Botswana’s compliance with global anti-money laundering standards.
For a micro-enterprise generating less than P200,000 in annual revenue, the association estimates that the combined P500 annual return fee and P500 constitution filing charge can amount to between 1% and 2% of annual turnover.
CIPA has previously argued that its fees are subsidised and necessary to sustain the Online Business Registration System. But SBAB questions why neighbouring countries appear able to provide similar services at substantially lower cost.
The association is proposing a tiered fee structure based on company turnover, mirroring systems used elsewhere in the region. Under its proposal, micro-enterprises with turnover below P1 million would pay annual returns of P150 instead of P500, while larger companies would pay significantly more.
