When in Botswana...
Botswana is eager for foreign investment and the economic prosperity that this brings, but at all stages of planning potential investors should bear in mind national sensitivities. Botswana seeks the economic empowerment of its citizens and the promotion of local entrepreneurship. It also wants the maximisation of local employment in a country of such high unemployment levels.
Investors should bear national sensitivities in mind when taking advantage of the liberal, well-managed economy and the manifold incentives on offer (described elsewhere). Wherever possible investors should try to employ local Batswana. Indeed it is a requirement for private companies to employ at least one director resident in Botswana. Investors should be prepared to employ, train and transfer skills to local workers. They must also be aware of minimum working conditions and detailed legislation on overcrowding, cleanliness of premises and pollution limits. Botswana also has a minimum wage rate.
Code of conduct
The Ministry of Trade and Industry states that foreign investors should "identify with Botswana's national principles and objectives, assist in the diversification of the economy and share in Botswana's commitment to the maintenance of a democratic, open and non-racial society". They should also bear in mind that "Botswana has zero tolerance for corruption."
Reserved economic activities
Even though foreign investors are welcome for joint ventures with citizens, small and micro enterprises are reserved for Batswana. Foreign investors are only allowed to participate if their investment transforms the activity to a medium scale enterprise. The citizen shareholding must remain 51% or over.
Work permits
Employment of non-citizens is regulated and all foreigners, engaged in any occupation for reward or profit, need work permits. Work permits are only issued after the necessary licences for specific economic activity have been acquired (see Doing business in Botswana).
Botswana clearly does not want to issue permits to foreigners if local skills are available. Thus the issue of work permits has become "one of the most contentious issues in the country" according to the Botswana Institute for Development Policy (BIDPA). "It appears it is becoming more and more difficult to employ expatriates".
But BIPDA points out that with the spread of AIDS to the skilled sector of the Botswana workforce, the need for skilled foreign manpower has become even more important. This is recognised by BEDIA and BDC which both offer help to investors in securing the foreign skills they need. It should also be noted that non-resident consultants, supervisors, or directors visiting Botswana do not require work permits.
Health and immunisation
Botswana is generally a healthy country but all visitors should get immunisation against tetanus, typhoid and yellow fever before travelling. They should also bear in mind that malaria is a serious problem with local mosquitoes becoming increasingly resistant to drugs. Travellers should get medical advice on what malaria tablets to take at least a week before entering the country and should continue taking them a further week thereafter. Bilharzia is also endemic and swimming in untreated water is dangerous. Visitors should also be aware that the incidence of AIDS is high throughout southern Africa, including Botswana. Most big towns have excellent private clinics. There is a private hospital in Gaborone but even here more complicated operations are generally referred outside the country for specialist attention.
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