Regulatory Alerts2008-07-30
COBAC Circular Letter LC 25 on Bank Service Pricing
The Central African Monetary Commission (COBAC) issued Circular Letter LC 25 to mandate CEMAC credit institutions to eliminate individual account maintenance fees and fully disclose banking terms, addressing persistently high interest rates and ongoing regulatory non-compliance. The directive requires banks to align fee eliminations with the prevailing practice of non-interest-bearing current deposits and to promptly submit their compliance measures. Additionally, COBAC excluded retail diversification, asset management, and investment financing from this circular for later discussion while advancing a harmonized regulatory text modeled on Gabon’s 1985 decree.
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