Regulatory Alerts2024-09-01
On the Mandatory Minimum Capital of Financing and/or Guarantee Institutions Issued Pursuant to the Regulation on Entities Operating in Burundi Providing Financing and/or Guarantee Services
The Bank of the Republic of Burundi mandates a fully paid minimum cash capital of ten billion Burundi Francs (10,000,000,000 BIF) for all financing and guarantee institutions operating in the country. This capital must be deposited into a dedicated financial institution account prior to license application and retained until operational commencement. The circular, effective upon publication on the Central Bank’s website and in the Official Gazette, formally defines guarantee institutions as entities providing signed credit endorsements or guarantees, and financing institutions as those refinancing loans through long-term market or development partner resources.
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