Companies and Intellectual Property Authority (CIPA) signed a Memorandum of Understanding with Botswana Accountancy Oversight Authority (BAOA) last week.
The partnership signifies both organisations continued efforts to ensure a well structured and formalised approach to dealing with issues of non-compliance to financial reporting by companies.
Both entities have an interest in the preparation of financial statements organised in accordance to prescribed financial reporting frameworks.
Companies are required to register financial statements and annual reports with CIPA.
The statements will then be audited and should conform to international Financial Reporting Standards, which is where BAOA comes in.
Speaking during the signing, CIPA Registrar General, Conductor Masena admitted they are not experts on financial reporting but will no be able to rely on BAOA for guidance in this field.
He said the MOU comes at a critical time as CIPA are on the verge of transiting from manual to online registration.
“The MOU will allow both organisations to provide training as well as information sharing between their officers regarding their specific products and services.
“This will improve understanding of the two organisations mandates hence presenting a better opportunity to serve the business community more efficiently. Both institutions strive for the betterment of Botswana’s business landscape and advocacy for the protection of both the public and investor interests,” said Masena.
For his part, BAOA Chief Executive Officer, Duncan Majinda said the MOU will help the two entities to pursue their mandate ‘effectively, efficiently and economically’ as they share responsibilities.
He noted they have a number of similarities so there is bound to be unavoidable overlaps of responsibilities, which could result in duplication of effort and uneconomic use of the country’s scarce resources.