A recent annual report from the Financial Intelligence Agency (FIA) reveals a noticeable trend in financial transactions. In the 2023/24 financial year, the FIA processed 24,381 cash transaction reports (CTRs), slightly fewer than the 24,711 received in 2022/23.
The total value of these reported transactions amounted to P47,299,508,817.21, a decrease from the P61,657,180,192.65 recorded in the previous year. While data indicates an increase in cash transactions from P15.8 billion in 2019/20 to P61.7 billion in 2022/23, the subsequent decline to P47.3 billion in 2023/24 “indicates a potential shift or reduction in cash usage during the 2023/24 years,” according to the FIA.
The FIA mandates that reporting entities disclose cash deposits and withdrawals of P10,000.00 or more. Banks led in the number of reports filed, submitting 11,870 reports totaling P46,634,429,349.41. Casinos followed with 3,677 reports, amounting to P485,940,292.37.
Other sectors also contributed to the reports: Money or Value Transfer Services reported 3,651 CTRs valued at P48,435,731.57, while Bureaux de change reported 4,455 at a value of P105,975,949.84. Car dealerships reported 263 CTRs at P9,495,457.32, and Insurance brokers submitted 235 CTRs valued at P7,231,150.48.
Smaller numbers were reported by electronic payment service providers (64 CTRs at P3,160,000.00), retailers (one CTR at P15,000.00), Botswana Unified Revenue Services (BURS) (three CTRs at P55,131,33), and medical aids (three reports at P42,751.00).
“As observed with the Suspicious Transactions Reports, the banking sector filed more reports, 48.7 percent compared to other sectors followed by the Casinos and Money or value transfer service sectors. A decrease in the cash transaction reports may be attributable to; under reporting by some sectors and a shift towards more non-cash transactions (e.g., digital payments, bank transfers).”
The Agency has stated its commitment to addressing non-compliance and ensuring that all reporting entities uphold high standards in their compliance and reporting practices.
