Regulatory Alerts2018-07-03
Guidelines on Significant Shareholding in Banks
The Bank of Botswana mandates prior written authorization and advance notice for any person or entity acquiring or disposing of a significant shareholding (defined as 5 percent or more, or conferring significant influence) in licensed banks and supervised financial institutions. Applicants must submit detailed applications or notices demonstrating financial capacity, fit-and-proper status, and source of funds, triggering a 90-day authorization review or 60-day notice assessment period during which the regulator may object or impose conditions. Non-compliant transfers lack legal effect, and approved shareholders must complete transactions within one year while adhering to annual reporting obligations and all stipulated representations.
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