Regulatory Alerts2024-10-01
Circular No. 05/M/18 on the Tariffing of Services Provided by the Central Bank to Microfinance Institutions, Community Financial Groups, Umbrella Structures and Financial Bodies
The Bank of the Republic of Burundi issued Circular No. 05/M/18 to establish and standardize the tariff schedule for services provided by its central bank office to microfinance institutions, community financial groups, umbrella structures, and financial bodies. The regulation mandates specific fixed fees or percentage-based supervision charges based on institutional category and net profit, which are automatically debited from designated current accounts or paid by January 31 annually. It further defines precise payment deadlines, required documentation for fee processing, and an effective date tied to official publication in the Burundi Official Bulletin.
BANK OF THE REPUBLIC OF BURUNDI THE MANAGEMENT
Circular No. 05/M/18 on the Tariffing of Services Provided by the Central Bank to Microfinance Institutions, Community Financial Groups, Umbrella Structures and Financial Bodies issued pursuant to Regulation No. 001/2018 on Microfinance Activities
Article 1: Object and Scope
The present circular aims to specify the tariffs applied to each of the services provided by the Central Bank to microfinance institutions, Community Financial Groups, Umbrella Structures and Financial Bodies.
Article 2: Applicable Tariffs for Provided Services
The table below indicates the tariffs applied to each of the services provided by the Central Bank to microfinance institutions.
| DESCRIPTION | AFFECTED INSTITUTION | TARIFF (BIF) |
|---|---|---|
| DOCUMENT REVIEW | ||
| Approval Request | Category 1 IMF | 1 000 000 |
| Category 2 and 3 IMFs | 500 000 | |
| Umbrella Structure | 500 000 | |
| Savings and credit cooperatives affiliated to an Umbrella Structure | 500 000 | |
| Financial Body | 1 000 000 | |
| Registration Request | Individual Community Financial Group | 100 000 |
| Community Financial Groups under the supervision of technical and financial partners | 500 000 |
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| Branch Opening Request | Category 1 IMF | 350 000 |
|---|---|---|
| Category 2 and 3 IMFs | 250 000 | |
| Counter Opening Request | Category 1 IMF | 250 000 |
| Category 2 and 3 IMFs | 200 000 | |
| Request for Waiver of a Regulatory Provision | All IMFs | 200 000 |
| REQUEST FOR AUTHORIZATION FOR OPERATIONS AND/OR SERVICES | ||
| Sale of insurance products to their clients or members | Category 1 and 3 IMFs | 1 000 000 |
| Issuance and/or management of payment instruments | Category 1 and 3 IMFs | 1 000 000 |
| Provision of hire-purchase operations | Category 1 and 3 IMFs | 1 000 000 |
| Safe deposit box rental | Category 1 and 3 IMFs | 250 000 |
| Any other related operation or service recognized by the Central Bank | Category 1 and 3 IMFs | 500 000 |
| ISSUANCE OF APPROVAL CERTIFICATE | ||
| Issuance of approval certificate | Category 1 IMF | 5 000 000 |
| Category 2 and 3 IMFs | 2 000 000 | |
| Umbrella Structure | 2 000 000 | |
| Savings and credit cooperatives affiliated to an Umbrella Structure | 2 000 000 | |
| Financial Body | 5 000 000 | |
| Issuance of registration certificate | Individual Community Financial Group | 250 000 |
| Community Financial Groups under the supervision of technical and financial partners. | 1 000 000 |
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| DOCUMENT REVIEW FOR RELOCATION/TRANSFER | ||
|---|---|---|
| From Registered Office | Category 1 IMF | 500 000 |
| Category 2 and 3 IMFs | 250 000 | |
| From a Branch | Category 1 IMF | 300 000 |
| Category 2 and 3 IMFs | 200 000 | |
| From a Counter | Category 1 IMF | 250 000 |
| Category 2 and 3 IMFs | 150 000 | |
| ANNUAL SUPERFEES FEES (encompassing all administrative fees for files processed by the Central Bank including ongoing monitoring of microfinance institutions) | ||
| Annual supervision fees | Category 1 IMF | 1 % of net profit with a minimum of 2 500 000 |
| Category 2 and 3 IMFs | 1 % of net profit with a minimum of 1 500 000 | |
| Savings and credit cooperatives affiliated to an Umbrella Structure | 1 % of net profit with a minimum of 1 500 000 | |
| Financial Body | 1 % of net profit with a minimum of 2 500 000 | |
| Annual monitoring fees | Individual Community Financial Group | 100 000 |
| Community Financial Groups under the supervision of technical and financial partners. | 1 000 000 |
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| MISC FEES | ||
|---|---|---|
| Provision of the list of defaulting clients (per month) | All IMFs | 150 000 |
| Partnership request initiated by an IMF and Payment Institution | All IMFs | 1 000 000 |
Article 3: Payment Deadlines for Fees
Fees related to the requests indicated in the previous article are debited from the current accounts of microfinance institutions held at the Central Bank.
Annual supervision fees are debited from the current accounts of microfinance institutions held at the Central Bank no later than January 31 of the following fiscal year.
Annual monitoring fees for Community Financial Groups are paid into the Central Bank's account on its books no later than January 31 of each year, and the corresponding payment slip is submitted to the Service responsible for monitoring Community Financial Groups.
Article 4: Entry into Force
This circular enters into force on the day of its publication in the Official Bulletin of Burundi and on the website of the Bank of the Republic of Burundi.
Done in Bujumbura, on 20/8/2018
BANK OF THE REPUBLIC OF BURUNDI
Annonciata SENDAZIRASA 2nd Vice-Governor.-
Melchior WAGARA 1st Vice-Governor.-
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