Directive for Non-Bank Lenders to Issue Repayment Schedules to Borrowers

The Non-Bank Lenders in Botswana are regulated by the Non-Bank Financial Institutions Regulatory Authority (“NBFIRA”) in accordance with the NBFIRA Act of 2023 (“the Act”). The Act provides for the Regulatory Authority’s powers and functions to regulate the non-bank financial institutions for the purposes of improving the fairness, efficiency and orderliness of the non-bank financial institutions sector; the stability of the financial system; and for matters incidental thereto.

The Regulatory Authority is empowered by Section 56(1)(f) of the NBFIRA Act, 2023, to give a non-bank financial institution a written direction on the manner in which the affairs of the non-bank financial institution may be conducted if it appears to the Regulatory Authority that the direction is necessary to protect the interests of clients of such non-bank financial institution and the public. In this regard, the Regulatory Authority hereby circulates a Directive for Non-Bank Lenders to issue Repayment Schedules to borrowers (refer to Directive 2024/ML/U2 and 2024/PS/FC/LC/U3 herein attached).

The Directive is effective April 1, 2024.

Oduetse A. Motshidisi
CHIEF EXECUTIVE OFFICER

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