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2024-09-13

Directive No. 05/2024 on Foreign Currency Purchases for Oil and Diamond Companies

The National Bank of Angola issued Directive No. 05/2024, requiring banking institutions to immediately transfer thirty percent of foreign currency acquired from oil and diamond companies on the Bloomberg FXGO platform into the interbank market. Transactions must employ RFQ or STA commands, target at least three banking institutions per transaction, and remain capped at three weekly transactions per counterparty. If interbank liquidity is insufficient, banks must sell the currency to the National Bank of Angola at the prevailing BGN Bid rate, with the directive taking effect the day after publication.

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GOVERNOR DIRECTIVE NO. 05/2024 ORIGIN: MARKETS DEPARTMENT (DME)

DATE 13/09/2024 SUBJECT: FOREIGN EXCHANGE MARKET

  • Foreign Currency Purchase Operations by Banking Institutions from Companies in the Oil and Diamond Industry on the Bloomberg FXGO Platform Due to the need to give greater dynamics to the Foreign Exchange Market with regard to the purchase of foreign currency from banking financial institutions from Companies in the Oil and Diamond Industry that take place on the Bloomberg FXGO platform. Pursuant to the combined provisions of Instruction No. 02/2020, of March 30, on the Procedures for the Sale of Foreign Currency by Companies in the Oil Industry and Foreign Exchange Operations in the Interbank Market and Directive No. 07/23, of 26 June 2023, on Procedures for the Sale of Foreign Currency by Companies in the Petroleum and Diamond Industry. This Directive is intended to establish the following:

  1. Banking Financial Institutions shall immediately transfer in the interbank market 30% (thirty percent) of the entire amount acquired in foreign currency purchase operations to the oil and diamond sectors.

  2. For the purpose of transferring the currency acquired in the interbank market, the RFQ (Request for Quote) and STA (Single Tenor Action) commands are available, and the transfer must be made to at least 3 (three) Banking Financial Institutions per transaction.

  3. For foreign currency transfer operations, a maximum of 3 (three) transactions per counterparty is established in the same week.

  4. In case of unavailability in the interbank market, Banking Financial Institutions must sell the foreign currency acquired to the National Bank of Angola, at the average purchase exchange rate in force (BGN Bid).

  5. Any doubts and omissions arising from the interpretation and application of this Directive shall be clarified by the National Bank of Angola.

  6. This Directive shall enter into force on the day following the date of its publication. Luanda, 13th September 2024. MARKETS DEPARTMENT

Tânia Patricia de Oliveira Mendes Lopes -Director-

CONTINUATION OF DIRECTIVE NO. 05/2024 Page 2 of 2

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