A memorandum of understanding (MoU) was today signed between the Companies and Intelluctual Property Authority (CIPA) and the Botswana Accounting Oversight Authority (BAOA) to establish a strategic partnership allowing both organizations to provide improved information sharing and further training on specific products and service offerings.
“This would build capacity of the officers from the two agencies in terms of improved understanding of their respective mandates and hence present a better opportunity to serve the business community more efficiently based on their shared customer value brought about by this partnership,” said Conductor Masena, CIPA Registrar General.
He said, “Moreover, this partnership provides an opportunity for both institutions to engage on matters of mutual interest and where necessary, pool resources together to promote the operations effectiveness of both entities.”
The organizations have a number of similarities like being Parastatals created by Botswana Parliament, are regulators, promote public accountability with respect to the provision of their services to public, enjoy jurisdiction over appointment of auditors, concerned with corporate governance and are interested in preparation of financial statements.
The MoU signed will put under greater scrutiny from BAOA and CIPA public and private companies with a turnover of over P10million and assets worth over P5million.
Companies depending on their size, type and form are required to register financial statements and annual reports with CIPA. The financial statements should than be audited and should conform to international Financial Reporting Standards or any national set standards for financial reporting.
This is where BAOA which adheres to corporate governance principles espoused on King IV in relation to submission of financial statements, annual reports and conducting of audits becomes a critical partner for CIPA as an entity that provides oversight over the accounting sector.
“What than follows from this process are coordinated work plans through working groups followed by the exchange of vital information for the two entities to get the best from each other for their mutual benefit without any adverse impact on their mandate and confidentiality undertakings,” said Duncan Majinda, Chief Executive Officer (CEO) of the Botswana Accountancy Oversight Authority (BAOA).
He said, “The other outcome is that the two entities pursue their mandates effectively, efficiently and economically as a lot of wastage is eliminated through this shared responsibility and cooperation. The MOU will therefore be a useful tool that we can rely upon until the relevant statutes are rationalized and aligned.”
“We are the third hosts of this prestigious conference, which has been held in Africa only twice before – in Cape Town South Africa in 2009 and in Port Louis, Mauritius in 2010. We are expecting more or less 200 delegates from all over the world to join us for the conference, which is expected to provide members with the opportunity to review the latest developments in corporate business registers internationally and to exchange insights on the present and future operations of corporate business registration system,” said Conductor Masena, CIPA Registrar General.
He said, “The Corporate Registers Forum (CRF) is an international body consisting of corporate registries from around the globe, which exists to allow member organizations to share experiences and information on the present and future operations of corporate registration systems.”
The CRF currently has over 60 member countries with Botswana being a member represented by CIPA. Organizations that provide services to corporate registries, including Information technology organizations also form part of the CRF community.
Other stakeholders of the CRF include the European Corporate Registers Forum (ECRF), the International Association of Commercial Administrators (IACVA) as well as the World Bank.
Being a member of the CRF allows CIPA to bench mark with other efficient business registration institutions like New Zealand which will help Botswana implement the much anticipated Companies and Business Names online registry, which is expected to roll out during the course of the year once appropriate Bills are passed by the current sitting of Parliament.
“The ease of doing business is a national priority under Pillar 1 of Vision 2036, which seeks to achieve sustainable economic development for the country through making Botswana a destination of choice for investment,” said Masena.
