"In order to continue to meet the minimum capital requirements of Bank of Botswana, and to create a cushion against unexpected impairments caused by a difficult business environment SCBB intends to issue the Capital Securities in the total amount of P400 million, which will comprise Additional Tier 1 Capital for the Bank, to SCB and utilize part of that capital to retire the P247.26 million of Tier 2 Capital by exercise of SCBB's right of redemption," the board said. Stanchart board is chaired by Professor Bojosi Otlhogile. Stan Chart's eminent need to increase its capital reserves is a result of the new accounting standards, International Financial Reporting Standards 9 (IFRS 9). The new IFRS 9 effected on January this year. However, commercial banks are expected to comply with the new accounting system by the beginning of their financial period. Standard Chartered Bank Botswana already started implementing the accounting system by January since their fiscal year commences in January.