Regulatory Alerts2022-03-30
Guideline No. 02/2022 of March 29 – Prudential Limits on Large Exposures and Bank Financial Institutions' Participation in Non-Financial Companies
The Banco Nacional de Angola issues Guideline No. 02/2022 to establish prudential limits on large exposures and capital participation by Bank Financial Institutions, mandating compliance with defined thresholds for single counterparties (25%), qualified shareholders (10%), and aggregate exposures (300% of Tier 1 own funds), alongside caps of 15% per non-financial company and 40% total for equity holdings. Financial institutions must implement robust internal control procedures, report concentration risks and participation data quarterly on an individual and consolidated basis, and ensure excess exposures are factored into risk-weighted assets at a 1250% weighting. All provisions apply to supervised institutions, with full compliance required by December 31, 2023, and transitional reporting schedules bridging the implementation period.