Call for tax reforms to attract FDI

Botswana needs to reform its tax incentive system by creating tax-free export processing zones (EPZs) or else it will not attract investment, a leading economist has said.

Professor Roman Grynberg, a senior research fellow at the Botswana Institute for Development Policy Analysis (BIDPA) said creation of tax-free export processing zones would be an important first step for the country.

He however cautioned that to reform the tax system without addressing the underlying causes of lack of competitiveness of firms located in Botswana would not result in long-term sustainable investment.

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