Botswana is a landlocked nation in Southern Africa. Its official name is the Republic of Botswana. Botswana is topographically flat, with the Kalahari Desert covering up to 70% of its area. It is bounded to the south and southeast by South Africa, to the west and north by Namibia, and to the northeast by Zimbabwe. The Kazungula Bridge connects it to Zambia over the short Zambezi River boundary.
Botswana, with a population of barely more than 2.3 million inhabitants, is one of the world's most sparsely inhabited nations. Gaborone, the capital and biggest city, is home to around 11.6 percent of the population. Formerly one of the poorest nations in the world, with a GDP per capita of about US$70 per year in the late 1960s, it has since converted itself into an upper-middle-income country with one of the world's fastest-growing economies.
Humans initially arrived in the country about 200,000 years ago. Tswanas are mostly derived from Bantu-speaking tribes that moved southward from Africa to contemporary Botswana in approximately 600 AD, living in tribal enclaves as farmers and herders. In 1885, the British colonized the territory and established Bechuanaland as a protectorate. Bechuanaland became an independent Commonwealth republic under its present name on September 30, 1966, as a result of decolonization. It has been a representative republic since then, with a track record of unbroken democratic elections and the lowest perceived corruption rating in Africa since at least 1998.
Mining, livestock, and tourism are the mainstays of the economy. Botswana's GDP (purchasing power parity) per capita is expected to be about $18,113 in 2021, making it one of the highest in Africa. Botswana is the world's largest diamond producer. Its comparatively high gross national income per capita (fourth-largest in Africa, according to some estimates) provides the country with a relatively high quality of life and the highest Human Development Index in continental Sub-Saharan Africa. Botswana is the first African nation to host the Forbes 30 Under 30 list as well as the 2017 Netball World Youth Cup.
Botswana is an African Union, Southern African Customs Union, Southern African Development Community, Commonwealth of Nations, and United Nations member. The HIV/AIDS pandemic has had a negative impact on the nation. Despite the effectiveness of programs to make medications accessible and educate the public on how to prevent the transmission of HIV/AIDS, the number of persons living with the disease increased from 290,000 in 2005 to 320,000 in 2013. Botswana has the third-highest HIV/AIDS prevalence rate in 2014, with around 20% of the population affected.
Per year, employees are given 15 days of paid vacation. Employees to use all of their sick days within six months of earning them. Up to three years' worth of available days will be accrued.
The following holidays are observed in Botswana:
New Year’s Day
Good Friday
Easter Monday
Labor Day
Ascension Day
Sir Seretse Khama Day
Presidents’ Day
Independence Day
Christmas Day
Boxing Day
If a public holiday falls on a Sunday, it will be observed the following Monday.
With a doctor's certificate, employees can take up to 14 days of paid maternity leave. When an employee is away from work for longer than 24 hours, they must notify their boss as soon as possible.
Maternity leave is granted to female workers for a period of 12 weeks. Six weeks of maternity leave are taken prior to the planned due date, and the remaining weeks are taken after the baby is born. When a pregnancy-related condition occurs, maternity leave may be extended by an extra two weeks.
There are no provisions in the Bostwana law regarding paternity leave.
Other than the already mentioned terms for maternity leave, there are no other provisions in the Bostwana law regarding parental leave.
Employers can typically cancel an employment contract by giving the employee written notice.
The notice period is equal to one pay month for the employee. If the employee is paid on a monthly basis, the notice period is one month. If the employee is paid weekly, the notice period is one week. No notice is required if an employee is terminated for misconduct or poor performance.
Employment contracts for unskilled and skilled workers include a probationary period. The probationary period is three months in the case of an employment contract for an unskilled worker. For employment contracts with skilled workers, the probationary period is increased to 12 months.
A probationary employment contract may be terminated with at least 14 days notice during the probationary period. In this way, the contract is deemed to have been terminated for just cause, and neither the employer nor the employee is required to provide justification.
After 60 consecutive months of employment, professional staff, such as managers and executives, receive severance pay. This is calculated as one day of pay for every month served up to 60 months, followed by two days for each subsequent month.
The workweek is generally limited to 48 hours, with no more than nine hours per day for a five-day week or eight hours per day for a six-day week.
Overtime is defined as work performed beyond 48 hours for which employees are compensated. Overtime is limited to 14 hours per week and is compensated at a rate of 150 percent or 200 percent of the basic rate, depending on the date of the overtime. Additionally, work performed on public holidays or during periods of rest should be compensated at twice the normal wage rate.
Botswana's minimum wage varies according to industry and type of work. For example, employees in the quarrying industry earn at least 6.77 pula per hour, while those in agriculture, forestry, and fishing earn at least 1,000 pula per hour (2019). These rates are also subject to change, and employers are advised to conduct research prior to drafting employment contracts.
Botswana has a universal healthcare system, although many companies still provide private alternatives.
Companies in Botswana are subject to a corporate tax rate of 22 percent.
Individuals in Botswana are imposed an income tax rate that ranges from 0 to 25 percent. The actual percentage varies depending on the income tax bracket the individual belongs to.
The standard rate for the value-added tax (VAT) or goods and sales tax (GST) in Botswana is set at 13 percent.
Whether you're planning a trip to Botswana, you'll need to find out if you require a visa. Botswana's visa policy is fortunately for most individuals all around the globe. A total of 103 nations and jurisdictions are visa-exempt, meaning its people may visit Botswana without a visa as long as they do not remain for more than 90 days in a 12-month period.
You can, of course, locate an online version of Botswana's visa laws and regulations to find out where your country stands regarding the country's visa policy.
You will only need to worry about Botswana's visa requirements if your country's nationals are not visa-exempt. We recommend that you contact the diplomatic mission or embassy where you intend to apply for your visa. While there is a lot of free information accessible on the internet, it is not necessarily the most credible. An embassy, on the other hand, will be able to provide you with the most up-to-date visa requirements. Botswana requires all visitors to have a passport with at least one blank page and validity for at least 6 months after their arrival date. Aside from that, we encourage that you do more study.
The names of the employer and employee
The names and addresses of the next of kin of the employee
The workplace location
Responsibilities of the employer and employee
Contract duration
Salary details including amount, payment interval and bonuses
Notice period and any conditions related to terminating the contract
The employee’s signature or thumbprint
There is no set length for assignments. This is usually indicated in the employment contract for fixed-term employments.
Botswana Pula (BWP)
If you want to take the conventional approach and establish a Botswana subsidiary, you'll need to engage with your staff ahead of time to answer a few questions regarding the procedure. First, attempt to figure out where in Botswana you want to include. Distinct states or areas sometimes operate under different Botswana subsidiary laws, which may affect how simple or complicated it is to incorporate.
You may also form a limited liability company (LLC), a public limited company (PLC), an offshore business (IFSC company), a branch, or a representative office as a subsidiary organization. Each structure has advantages and disadvantages, therefore we suggest investigating which option is ideal for your company's requirements. Many businesses, however, opt to organize as an LLC since it provides advantages to both subsidiaries and parent corporations.
The following actions are required to establish a Botswana subsidiary as an LLC:
1. Reserving a business name
2. Registration of Companies and Intellectual Property with the Registrar of Companies (ROCIP)
3. Obtaining a business license
4. Enrolling in the Botswana Revenue Service and obtaining a Tax Identification Number (TIN)
Learning the Botswana subsidiary laws that relate to your location and company is one of the most difficult aspects of incorporating. LLCs must have at least one director who is a Botswana resident and one shareholder of any nationality. Botswana, unlike other nations, does not need any paid-up minimum share capital.
You'll also need a registered office in the nation where you'll be working. LLCs must produce audited financial statements within five months after the end of the fiscal year and should do so via the services of a competent company secretary.
It's worth noting that the Business Names Act is one of Botswana's subsidiary laws. All firms seeking to incorporate must register their name, title, description, or style under which any corporation operates and prominently display this name at the physical building's entry. To guarantee that each registered business name is unique, the Registrar of Business Names manages a registry of all registered business names.
