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COMPETITION OVERVIEW: BOTSWANA. Botswana Institute for Development Policy Analysis Monnane M. Monnane Research Fellow. Introduction. Competition Policy for Botswana Policies and Laws affecting competition in Botswana Nature of Competition in Botswana Survey Results.
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COMPETITION OVERVIEW: BOTSWANA Botswana Institute for Development Policy Analysis Monnane M. Monnane Research Fellow
Introduction • Competition Policy for Botswana • Policies and Laws affecting competition in Botswana • Nature of Competition in Botswana • Survey Results
Competition Policy and Law for Botswana • Objectives: • Enhance economic efficiency, promote consumer welfare, support economic growth and diversification • Prevent and redress anti competitive practices • Prevent and redress unfair practices adopted by firms against consumers and small businesses • Compliments other Government policies and laws
Some Positives (over and above objectives) • Establishment of the Competition Authority • Ensuring consistency with other Government Policies • Consumer protection • Public awareness and support for the Policy
Grey Areas • Interface between the Competition authority and other sector specific Regulatory bodies • Recognition of sector regulators (BoB, BTA, BOTA etc) • All fall under the ambit of the competition law (Competition Authority)
Grey Areas continued • “In Sectors characterized by commercial activities, complex science, engineering and technology or having natural monopoly or other special elements the competition authority and sector specific regulators will collaborate and compliment each other” • Who are these? BoB, Non BA, BTA, Power, Water. BOTA. • No sector specific may fall under the AMBIT of the Competition Law.
Grey Areas continued • Exemptions • Public Utilities :- Infrastructural public utilities such as land line provision. Privatisation? Encouraging Monopolies? PPPs?
2. Policies and Laws Affecting Competition • PPDA Act – open competitive bidding – pro competition • Telecoms Act- promotes competition among players. • Trade Policy (SACU – Common external Tariff) • Trade and Liquor Act (1993) – reserves some activities to citizens. SMMEs exemptions?
Nature of Competition in Botswana (Economic Mapping Study) • Use market concentration as a measure. • Contribution of Top 3 firms
THE END Thank you