Notice No. 7/GBM/2023, of December 11 - Determines the Prudential Rules for Exchange Houses

SUMMARY NOTICE The matter to be published in the «Boletim da República» must be submitted as a duly authenticated copy, one for each subject matter, containing, in addition to the necessary indications for this purpose, the following endorsement, signed and authenticated: For publication in the «Boletim da República». IMPRENSA NACIONAL DE MOÇAMBIQUE, E. P. Bank of Mozambique: Notice No. 7/GBM/2023: Determines the Prudential Rules for Exchange Houses and revokes Notice No. 10/GGBM/95, of September 1. Notice No. 8/GBM/2023: Determines the Prudential Ratios and Limits for Financial Leasing Companies. Monday, December 11, 2023 I SERIES — Number 237 BANK OF MOZAMBIQUE Notice No. 7/GBM/2023 of December 11 Given the need to determine specific prudential rules for exchange houses, the Bank of Mozambique, exercising the powers conferred upon it by Article 85 of Law No. 20/2020, of December 31, the Law on Credit Institutions and Financial Companies, determines: CHAPTER I General Provisions ARTICLE 1 Object This Notice establishes the prudential rules applicable to exchange houses. ARTICLE 2 Scope This Notice applies to exchange houses in the exercise of their activities. ARTICLE 3 Duty of continuous compliance Exchange houses must continuously and permanently observe the rules established in this Notice. CHAPTER II Own Funds and Limits on Foreign Exchange Position ARTICLE 4 Composition of own funds The own funds of exchange houses consist of positive and negative elements, as defined in Articles 5 and 6 of this Notice. ARTICLE 5 Positive elements of own funds The following are considered positive elements of own funds: a) paid-up capital, including the portion represented by non-convertible preference shares; b) premiums on the issuance of shares and other securities; c) legal, statutory, and other reserves formed by undistributed profits; d) positive results carried forward from previous financial years; e) positive results of the last financial year, under the conditions referred to in Article 8 of this Notice; f) provisional positive results of the current financial year, under the conditions referred to in Article 8 of this Notice. ARTICLE 6 Negative elements of own funds The following are considered negative elements of own funds: a) treasury shares, at their book value; b) other equity elements falling within the preceding article, at their book value; c) intangible assets; d) negative results carried forward from previous financial years; e) negative results of the last financial year; f) negative results of the current financial year, at month-end; g) value of shortfalls verified by the positive difference between the amount of requirements referred to in paragraph 1 of Article 9 of this Notice. ARTICLE 7 Calculation of Own Funds The own funds of exchange houses are determined by deducting the positive own funds from the elements set out in Article 6 of this Notice. Electronic Edition by Pandora Box, Lda. 3518 I SERIES — NUMBER 237 ARTICLE 8 Treatment of results in own funds Provisional positive results of the current financial year or positive results of the last financial year shall only be considered as own funds if they have been: a) determined after accounting for all costs attributable to the reference period and complying with all rules regarding the establishment of provisions, or impairment, where applicable, and allocations for amortization; b) reduced by the value of foreseeable taxes and dividends, calculated proportionally to the period they relate to; c) approved by the Bank of Mozambique, without prejudice to the audit of accounts by an external auditor. ARTICLE 9 Limits on foreign exchange position

1. Exchange houses must not present, at the close of each day, an aggregated net foreign exchange position exceeding their own funds.
2. Exchange houses must maintain an updated register of transactions carried out, containing, for each transaction, inter alia, the date, amount, currencies traded, exchange rates, and customer identification. ARTICLE 10 Submission of information
3. Exchange houses must submit to the Bank of Mozambique the following reports: a) Foreign exchange position statement, on a daily basis; b) Own funds statement, on a monthly basis, referencing the last day of each month, and within 15 days thereafter.
4. The statements referred to in the preceding paragraph must be submitted using the Bank Supervision Application (BSA). CHAPTER III Final Provisions ARTICLE 11 Instructions The Bank of Mozambique issues Circulars with the necessary instructions for compliance with this Notice. ARTICLE 12 Sanctioning Regime Non-compliance with the provisions of this Notice constitutes an offense punishable under the Law on Credit Institutions and Financial Companies. ARTICLE 13 Revocation Notice No. 10/GGBM/95, of September 1, which determines the foreign exchange position limit for Exchange Houses, is hereby revoked. ARTICLE 14 Entry into Force This Notice enters into force on the date of its publication. ARTICLE 15 Clarification of Doubts Doubts regarding the interpretation and application of this Notice are submitted to the Prudential Supervision Department of the Bank of Mozambique. Maputo, September 21, 2023. — Governor, Rogério Lucas Zandamela. Notice No. 8/GBM/2023 of December 11 Given the need to determine specific prudential ratios and limits for financial leasing companies, the Bank of Mozambique, exercising the powers conferred upon it by Article 85 of Law No. 20/2020, of December 31, the Law on Credit Institutions and Financial Companies, determines: CHAPTER I General Provisions ARTICLE 1 Object This Notice establishes the prudential ratios and limits applicable to financial leasing companies. ARTICLE 2 Scope This Notice applies to financial leasing companies in pursuing their corporate purpose, as established in the Regulations of the Law on Credit Institutions and Financial Companies. ARTICLE 3 Duty of continuous compliance Financial leasing companies must continuously and permanently observe the ratios and limits established in this Notice. CHAPTER II Prudential ratios and limits for financial leasing companies ARTICLE 4 Prudential limits applicable to financial leasing companies The prudential ratios and limits of credit institutions, with necessary adaptations that do not contradict the provisions of this Notice, apply to financial leasing companies. ARTICLE 5 Capital and own funds
5. Financial leasing companies adopt the fund regime set out in Article 5 of Notice No. 9/GBM/2017, of June 5. Electronic Edition by Pandora Box, Lda.