In order to qualify for the incentives offered projects must meet a number of criteria. These include a broad range of service activities according to the following guidelines:
- Projects must provide financial services, as set out in Part XVI of the Income Tax (Amendment) Act 1999. These are:
- Banking and financing operations transacted in foreign currency
- The broking and trading of securities denominated in foreign currency
- Investment advice
- Management and custodial functions in relation to Collective Investment Schemes
- Insurance and related activities
- Registrars and transfer agency services
- Exploitation of intellectual property
- Development and supply of computer software for use in the provision of services described above
- Accounting and financial administration activities
- Other operations that the Minister may declare by order from time to time to be approved operations for the purposes of this section.
- The services must be provided to/for clients outside Botswana and in currencies other than the Pula.
- The promoters of the project must be able to satisfy the regulatory requirements of the Botswana authorities.
The Bank of Botswana will be the regulator for all IFSC activities except insurance, which is regulated by the Registrar of Insurance in the Ministry of Finance and Development Planning.
The Bank will establish the regulatory and supervisory requirements for each project after considering applications, discussing them with applicants and obtaining any information it may deem necessary.