Regulatory Alerts1993-11-16
Notice No. 11/93 of 16 December
The Governor of the National Bank of Angola issued Notice No. 11/93 to clarify the regulatory framework governing commercial banks' foreign exchange transactions at free market rates. The notice authorizes commercial banks to purchase and sell foreign currency against New Kwanzas, encompassing physical currency, travel cheques, and deposits held by both residents and non-residents. Banks must account for the variance between the official fixed exchange rate and actual market rates as income or expenses, with compliance monitored by the Banking Supervision and Reserve Management Directorates.
NOTICE NO. 11/93 of 16 December Through Notice No. 8/93 of 27 May, licensed Commercial Banks and Exchange Houses were authorized to purchase and sell foreign currency at free market rates, within the limits and conditions previously published by the Central Bank; Subsequently, by Notice No. 12/93 of 16 December, the regime to be observed by Exchange Houses in carrying out the aforementioned operations was defined; As it is now necessary to clarify the regime to be observed by Commercial Banks in their foreign exchange operations at free market rates, In exercise of the competence attributed by Article 42, paragraphs a) and c) of the Organic Law of the National Bank of Angola,
I HEREBY DETERMINE: Article 1 Commercial Banks are authorized to purchase and sell foreign currency at free market rates, under the following terms: a) purchase and sell, against New Kwanzas, foreign banknotes and coins, travel cheques, cheques and payment orders; b) Purchase, against New Kwanzas, foreign exchange registered in foreign currency deposit accounts, whether held by residents, in the operations referred to in Article 6, paragraph b), of Notice No. 7/92 of 12 August, or held by non-residents, in the operations referred to in Article 5, paragraph b), point i), of Notice No. 2/92 of 3 April.
Article 2 In accounting for the operations referred to in this Notice, Banks shall take into account the official table of fixed exchange rates published by the Reserve Management Directorate, and shall consider the respective differences compared to the market rates actually practiced as income (in sale operations) or as expenses (in purchase operations).
Article 3
The Banking Supervision Directorate, in coordination with the Reserve Management Directorate, shall establish the necessary controls over compliance by Banks with the provisions contained in Article 2 of this Notice. Article 4 This Notice enters into force immediately. PUBLISH. Luanda, 16 December 1993 THE GOVERNOR GENEROSO HERMENEGILDO GASPAR DE ALMEIDA