Regulatory Alerts2024-12-20
Notice No. 09/2024 Establishing the Special Credit Scheme for Housing and Real Estate Construction in Angola
The National Bank of Angola issued Notice No. 09/2024 to establish a Special Credit Scheme for housing and real estate construction, updating eligibility criteria and maximum financing limits. Banking financial institutions must now cap mortgage interest rates at seven percent and construction loan rates at ten percent, limit upfront commissions to one percent, and restrict eligible property values to 150 million Kwanzas for housing and 200 million Kwanzas for tourist or catering developments. The regulation mandates rigorous risk and property valuation assessments, requires monthly reporting of disbursed contracts to the central bank, grants favorable mandatory reserve deductions for compliant loans, and officially revokes Notice No. 09/2023 upon its December 21, 2024 entry into force.