05 Mar 2026

Parliament has, on Wednesday, approved the budget for the Ministry of Trade and Entrepreneurship, following Members of Parliament (MPs) views on how to improve the national business environment. 

MPs expressed concern that the budget presented by the Minister Tiroeaone Ntsima, failed to address the informal sector despite its crucial role in the economy. 

Contributing to the debate, MP Jeremiah Frenzel of Shashe West noted that informal sector players were not free to operate their businesses, arguing that those operating in Boteti had been forced to close by local authorities. 

Similarly, Mahalapye East MP, Mr Augustine Nyatanga called upon government to assist the informal sector as stipulated in its promises. 

MP Nyatanga called for equitable distribution of resources, noting that most businesses receiving funding were located in urban or peri-urban areas. 

He urged government to make a bold decision to assist people in rural areas who lagged behind in funding despite facing numerous challenges. 

He also decried the high costs that entrepreneurs faced in meeting the Companies and Intellectual Property Authority (CIPA) requirements. 

He noted that company constitutions were expensive, which prohibited youth from venturing into business. He also reminded Parliament that government had long promised to construct storage facilities for local producers aiming for international markets and suggested that a Special Economic Zone (SEZ) be developed at the Tropic of Capricorn.

 Takatokwane MP, Mr Jacob Kelebeng acknowledged that online business registration had improved turnaround times and standards. However, he also expressed concerns regarding CIPA’s high costs, stating that annual return fees had placed additional burden on young entrepreneurs. 

MP Kelebeng further emphasised that government must find ways to support indigenous businesses. MP Reuben Kaizer of Selebi Phikwe West questioned the effectiveness of current business laws while the informal sector continued to struggle. 

He noted that the mandates of the SEZ, Selebi Phikwe Economic Development Unit (SPEDU) and Botswana International Trade Centre (BITC) often overlapped, resulting in confusion. MP Kaizer also called for the development of a citrus value chain, arguing that the 10 per cent production allocation to SPEDU is insufficient. 

He noted that the government has projected a revenue drop of 15 per cent due to its decision to insource services such as security and cleaning.

 The move, he argued, would lead to fewer business registrations and potential retrenchments. For his part, MP Boniface Mabeo of Ramotswa called on government to root out corruption at CEDA. Mr Mabeo expressed concern that out of the P331 million allocated to the ministry during the 2025/26 financial year, only 22 per cent was spent, suggesting that Batswana were being denied funding. 

He also proposed that his constituency be declared an SEZ specialising in pork, noting that there were currently limited programmes to fund piggeries. Responding to the MPs, Minister Ntsima maintained that every Motswana was eligible to access CEDA loans. 

He encouraged the Ramotswa MP to urge his constituents to continue rearing pigs to build a case for an SEZ in the future. Regarding the informal sector, the minister stated that government aimed to assist every Motswana, especially those in remote areas. 

However, he noted that the country was currently occupied with developing and operating nine existing SEZs, making it imprudent to establish new ones at this time. 

Minister Ntsima further affirmed government’s commitment to developing value chains to improve food security and empower rural communities. “Our businesses have relied heavily on tendering and as a result, they have been affected by measures introduced by government. 

They should focus on being producers rather than just middlemen to align with government aspirations,” the minister said in response to MP Kaizer. ENDS