The Bank of Botswana announced that the Electronic Payment Services Amendment Regulations, 2026 took effect on 2 April 2026 and now apply immediately to payment service providers. The changes update Botswana’s framework for electronic payment services and money or value transfer services, aligning it with the re-enacted Financial Intelligence Act, 2022, the Bank of Botswana Amendment Act, 2022 and relevant Financial Action Task Force requirements. The revised rules also clarify which entities may offer electronic payment services, along with the related licensing, market-entry and market conduct requirements. Key amendments include a broader and clearer scope for licensable providers, a sanctions regime aligned with the wider financial crime framework, and permission for interest-bearing electronic-money balances subject to prescribed conditions. The regulations also clarify how dormant accounts and unclaimed funds must be handled, introduce a tiered merchant framework with proportionate know-your-customer requirements, and revise operating limits so they align with merchant tiers and apply to payment receipts in account-based services. Payment service providers are expected to comply with the regulations with immediate effect. The Bank also urged users of electronic payment services to use licensed providers.
Bank of Botswana2026-07-22
Bank of Botswana implements amended electronic payment services regulations, permits interest-bearing e-money and revises licensing and KYC rules
The Bank of Botswana said its amended Electronic Payment Services Regulations took effect on 2 April 2026 and are immediately binding on payment service providers. The changes update licensing, sanctions, merchant KYC and operating-limit rules, and allow interest-bearing e-money subject to conditions. They also align the framework with Botswana’s financial intelligence legislation and relevant FATF requirements.