Angolan authorities have reviewed the minimum regulatory capital and equity applicable to Banking and Non-Banking Financial Institutions (NBFI) linked to currency and credit, according to official legal database Legis-PALOP+TL.
Notice no. 12/22 of 4 May 2022, which came into force on the same day, establishes the minimum regulatory share capital and equity applicable to NBFIs linked to currency and credit, and Notice no. 13/22 of 4 May 2022, which came into force on 11 May 2022, establishes that NBFIs linked to currency and credit, under the supervision of the central bank (BNA) must have their share capital fully paid up and maintain regulatory equity at the following minimum values:
– For Payment Service Providers: from 20,000,000 (about USD 48,000) to 70,000,000 Kwanzas (about USD 170,000);
– For Exchange Bureaus: 50,000,000 Kwanzas (about USD 120,000);
– For Financial Services Companies and Financial Leasing Companies: 100,000,000 Kwanzas (approximately USD 240,000); and
– For Credit Guarantee Societies: 250,000,000 Kwanzas (approximately USD 600,000).
As of May 11, 2022, Banking Financial Institutions (Commercial Banks), must observe, on a daily basis, a currency position that does not exceed 10% of its regulatory equity, regardless of whether the position is long or short.
New regulations also mandate the submission, by 8:30 am of each business day, of the map of the exchange position, including information on the total in Kwanzas and the total of positions registered in foreign currency (USD, EUR, GBP, ZAR, among others) converted to Kwanzas referring to: cash and cash equivalents, investments in central banks and other financial institutions, securities, hedging derivatives with positive fair value, credit in the payment system, foreign exchange operations, credit to customers and other assets, customer funds and other loans , resources from central banks and other financial institutions, liabilities represented by securities, financial liabilities at fair value through profit or loss, hedging derivatives with negative fair value, obligations in the payment system, non-current liabilities held for sale, foreign exchange transactions, financial assets liabilities associated with transferred assets, subordinated and other liabilities, and provisions.