Notice No. 4/GBM/2020, of April 23 – Establishes the Terms for Submitting Information to the Bank of Mozambique Necessary for Compiling Statistics on Emissions

OFFICIAL GAZETTE OF THE REPUBLIC OFFICIAL PUBLICATION OF THE REPUBLIC OF MOZAMBIQUE TABLE OF CONTENTS NOTICE The matter to be published in the «Boletim da República» must be submitted as a duly authenticated copy, one for each subject matter, containing the following endorsement, signed and authenticated: For publication in the «Boletim da República». NATIONAL PRESS OF MOZAMBIQUE, S.A. Council of Ministers: Decree No. 22/2020: Regarding the granting of forgiveness of fines and reduction of late interest arising from contributions to the Mandatory Social Security System. Bank of Mozambique: Notice No. 2/GBM/2020: Establishes the procedures for selecting banknotes and coins of the Metical in circulation and revokes Notice No. 12/GGBM/96, of November 21. Notice No. 3/GBM/2020: Establishes the minimum capital for payment service providers in the categories of payment aggregators and fund transfer institutions. Notice No. 4/GBM/2020: Establishes the terms for submitting to the Bank of Mozambique information necessary for compiling statistics on emissions, transactions and positions of securities, distribution of the agency network of credit institutions and financial companies, system interest rates, credits and deposits, external sector and National Payments System. Thursday, April 23, 2020 | SERIES I — Number 77 COUNCIL OF MINISTERS Decree No. 22/2020 of April 23 In order to ensure the recovery of Mandatory Social Security contributions due by employers, under Article 56 of Law No. 4/2007 of February 7, the Council of Ministers decrees: Article 1 (Forgiveness and Reduction) Forgiveness of fines and reduction of late interest arising from the failure to pay or late payment of contributions to mandatory social security, whose debt was incurred up to the date of entry into force of this Decree, is granted. Article 2 (Scope)

1. This Decree covers: a) small and medium-sized enterprises registered under applicable legislation to the Mandatory Social Security System managed by the National Social Security Institute; b) enterprises that, for some reason, have never registered in the Mandatory Social Security System, and must therefore follow the registration rules set out in its Regulations; c) enterprises with pending coercive collection proceedings for contribution debts before the Courts, Public Prosecutors' Offices and Exclusive Tax Execution Courts, without prejudice to any criminal liability applicable; and d) the remaining amount of contribution debt that was subject to installment payment agreements before the entry into force of this Decree.
2. For the purposes of paragraph (d) above, the forgiveness of fines and reduction of late interest applies only to the remaining portion, and enterprises must pay the debt during the validity period of this Decree. Article 3 (Types of Granting)
3. The forgiveness of fines and reduction of late interest referred to in this Decree is granted on the condition that the taxpayer pays in full the outstanding contributions that gave rise to the application of fines and late interest.
4. A taxpayer who makes full payment of contributions benefits from total forgiveness of fines and a 98% reduction in late interest.
5. The taxpayer may request installment payments under paragraph (b) of Article 4 of this Decree, benefiting from total forgiveness of fines and a 75% reduction in late interest.
6. Installment payments under the preceding paragraph must be made by December 31, 2020.
7. In case of non-compliance for a period exceeding thirty days, the agreement is considered annulled, subject to the terms of the Mandatory Social Security Regulations.

Article 4 (Application Processing) To benefit from the forgiveness of fines and reduction of late interest, the taxpayer must: a) prepare and submit all outstanding remuneration declarations and confirm contribution debts at any Provincial, District or branch office of the National Social Security Institute; b) submit, within 90 (ninety) days from the date of entry into force of this Decree, to the Provincial, District and Branch Offices of the National Social Security Institute, a request addressed to the Director-General for full payment of contribution debts or installment payments. Article 5 (Validity) This Decree is valid for 90 (ninety) days. Article 6 (Entry into Force) This Decree enters into force from the date of its publication. Approved by the Council of Ministers on March 24, 2020. Published. The Prime Minister, Carlos Agostinho do Rosário. BANK OF MOZAMBIQUE Notice No. 2/GBM/2020 of April 23 In order to standardize selection procedures and ensure the circulation of good quality banknotes and coins, stimulate their proper preservation, thereby enhancing the national currency and maintaining public confidence, the Bank of Mozambique, exercising its powers under Article 7-A combined with Article 121 of the Regulations for Credit Institutions and Financial Companies approved by Decree No. 56/2004 of December 10, as amended by Decree No. 30/2014 of June 5, determines: CHAPTER I General Provisions Article 1 Subject Matter This Notice establishes the selection procedures for banknotes and coins of the Metical in circulation, as well as related operations. Article 2 Scope of Application This Notice applies to credit institutions and financial companies that handle cash in the course of their activities, as well as entities that professionally perform authenticity and quality verification and handling of banknotes and coins on behalf and order of credit institutions. Article 3 General Duties

1. Institutions covered by this Notice must perform manual or automatic verification of the quality of Metical banknotes and coins according to classification criteria established by the Bank of Mozambique.
2. Credit institutions and financial companies must only deposit with the Bank of Mozambique, as well as recirculate, banknotes and coins whose authenticity and quality have been verified. CHAPTER II Classification and Valuation of Metical Banknotes and Coins Article 4 Classification of Banknotes
3. Metical banknotes submitted for deposit at the Bank of Mozambique must be classified as: a) Suitable; b) Unsuitable.
4. Suitable banknotes are fit for circulation as they are in good condition and original size.
5. Unsuitable banknotes are unfit for circulation as they exhibit the following conditions: a) Small missing parts, holes, tears or folds that do not reduce their size; b) Foreign characters, namely marks, images, drawings, writings or stamps; c) Disfigured by stains, marks, ink or any other material; d) Dirty or wrinkled to the extent that they damage the paper fiber, showing signs of disintegration and weakening; e) Discolored by use; f) Very dirty, regardless of the appearance of security features; g) Soft, flaccid or worn by use; h) Mutilated, exhibiting the following characteristics: i. Fragmented areas, mended with adhesive tape, staples or clips; ii. Reduced original size due to use and wear or tears, damage, disfigurement or perforation; iii. Crumpled parts with multiple folds, or burned to the extent that, although recognizable, they have become fragile and brittle, to the point of disintegrating during handling; iv. Shrunken areas, melted by burning, when referring to polymer notes.
6. Images of mutilated banknotes and their respective valuation can be consulted on the Bank of Mozambique website: www.bancomoc.mz.

Article 5 Classification of Coins Metical coins submitted for deposit at the Bank of Mozambique must be classified as: a) Suitable coins – intact and defect-free, fit for circulation; b) Unsuitable coins – unfit for circulation as they exhibit the following conditions: i. Bent, perforated or disfigured surface; ii. Fragments; iii. Damage that may result in discoloration and alteration of the coin's appearance; iv. Dimensions different from those originally specified; and v. Difficulty in identifying the denomination. Article 6 Criteria for Banknote Selection The Bank of Mozambique defines by Circular the criteria to be observed in the selection of banknotes for their return to public availability. Article 7 Handling of Banknotes and Coins

1. Credit institutions must replace unsuitable banknotes and coins for circulation presented by the public and subsequently deposit them with the Bank of Mozambique.
2. The Bank of Mozambique defines by Circular the procedures to be observed, by credit institutions covered by this Notice, when performing banknote and coin deposit and withdrawal operations. Article 8 Valuation Criteria for Mutilated Banknotes
3. Mutilated banknotes are valued in full when they exhibit the following conditions: a) A continuous and intact surface not less than two-thirds of the note, or when fragments complete the total surface of the same note; b) Shrunken and intact, referring to polymer notes, provided they exhibit at least one security feature.
4. Mutilated banknotes are valued at half when they exhibit the following conditions: a) A continuous intact surface or fragments completing at least half of the note's surface; b) Shrunken, referring to polymer notes, provided they exhibit at least one security feature. Article 9 Handling of Mutilated Banknotes and Unsuitable Coins
5. Credit institutions must reassemble banknotes that are not intact or are torn or cut, as follows: a) Paper substrate notes must be reassembled with white paper, restoring their original format and keeping the front visible; b) Polymer substrate notes must be reassembled with transparent adhesive tape, restoring their original format and keeping the front visible; c) Tears or cuts must be reassembled with transparent adhesive tape.
6. Mutilated banknotes and unsuitable coins must be sent to the Bank of Mozambique in separate volumes, as defined in the circular on banknote and coin deposit operations. CHAPTER III Transitional and Final Provisions Article 10 Adaptation Period Credit institutions and financial companies covered by this Notice are subject to an adaptation period of 180 (one hundred and eighty) days, counted from the date of their entry into force. Article 11 Sanctioning Regime Violation of the provisions of this Notice constitutes an offense punishable under applicable legislation. Article 12 Revocation Clause Notice No. 12/GGBM/96 of November 21, and other provisions contrary to this Notice, are revoked. Article 13 Entry into Force This Notice enters into force on the date of its publication. Article 14 Clarification of Doubts Doubts arising from the interpretation and application of this Notice must be submitted to the Issuance and Treasury Department of the Bank of Mozambique. Bank of Mozambique, in Maputo, March 27, 2020. — The Governor, Rogério Lucas Zandamela. Notice No. 3/GBM/2020 of April 23 A new type of financial institution has been introduced into the Mozambican legal system, namely payment service providers, with the objective of making the financial system more dynamic and modern in the context of financial inclusion. In these terms, becoming necessary to establish the minimum capital for categories of these companies, adequate to the risks inherent in their activity and the dynamics of the national economy, the Bank of Mozambique, exercising its powers under Article 7 of Decree No. 99/2019 of December 31, combined with paragraph 1 of Article 61 of Law No. 15/99 of November 1, as amended by Law No. 9/2004 of July 21 - Credit Institutions and Financial Companies Law, determines:

Article 1 Subject Matter This Notice establishes the minimum capital for payment service providers in the categories of payment aggregators and fund transfer institutions. Article 2 Scope of Application This Notice applies to payment service providers in the categories of payment aggregators and fund transfer institutions. Article 3 Minimum Share Capital

1. The minimum share capital for payment service providers covered by this Notice must be paid in cash and follows the following structure: a) Payment aggregators dedicated exclusively to facilitating payments under paragraph (b) of paragraph 2 of Article 2 and paragraph (j) of paragraph 1 of Article 4, both of Decree No. 99/2019 of December 31 ..…………. 100,000.00 MT (one hundred thousand Meticals); b) Payment aggregators whose corporate object includes the operations described in paragraphs (a) to (k) of paragraph 1 of Article 4, Decree No. 99/2019 of December 31 …………... 4,000,000.00 MT (four million Meticals); c) Fund transfer institutions dedicated exclusively to fund transfers, under paragraph (d) of paragraph 2 of Article 2 and paragraph (h) of paragraph 1 of Article 4, both of Decree No. 99/2019 of December 31 ………………… 500,000.00 MT (five hundred thousand Meticals).
2. For operations described in paragraph (l) of paragraph 1 of Article 4 of Decree No. 99/2019 of December 31, the Bank of Mozambique may determine on a case-by-case basis, as a prior authorization condition, the establishment of a minimum share capital higher than that provided in the preceding paragraph. Article 4 Clarification of Doubts Doubts arising from the interpretation and application of this Notice must be submitted to the Regulation and Licensing Department of the Bank of Mozambique. Article 5 Entry into Force This Notice enters into force on the date of its publication. Bank of Mozambique, in Maputo, March 27, 2020. — The Governor, Rogério Lucas Zandamela. Notice No. 4/GBM/2020 of April 23 In order to expand the statistical information base, aiming to monitor various forms of fund transmission between economic agents (resident and non-resident), as well as volumes, values, instruments or payment obligations, and the expansion of the national financial system, the Bank of Mozambique, under paragraph 2 of Article 16 of Law No. 1/92 of January 3 – Organic Law of the Bank of Mozambique, and paragraph (d) of Article 7 of Law No. 2/2008 of February 27 – National Payments System Law, determines: Article 1 Subject Matter This Notice establishes the terms for submitting to the Bank of Mozambique information necessary for compiling statistics on emissions, transactions and positions of securities, distribution of the agency network of credit institutions and financial companies, system interest rates, credits and deposits, external sector and National Payments System. Article 2 Scope of Application This Notice applies to credit institutions and financial companies, participants in the National Payments System, and entities authorized to trade securities. Article 3 Submission of Information to the Bank of Mozambique
3. Institutions covered by this Notice must submit to the Bank of Mozambique, as applicable, information regarding: a) Emissions, transactions and positions of securities, namely their portfolio and client portfolios held or managed by them; b) List of authorized agencies, active and closed, segregated by province and respective district; c) Quantity of ATMs (automated teller machines), value and volume of transactions conducted at ATMs; d) Quantity of POS (point of sale) machines and transactions conducted at POS; e) Quantity of subscribers and bank accounts; f) Quantity of subscribers and bank cards; g) Quantity of subscribers and transactions conducted via mobile banking; h) Quantity of subscribers and operations conducted via internet banking; i) Quantity of agents, subscribers and transactions for electronic money; j) Interbank transactions; k) SWIFT message flows and remittances; l) Service unavailability; m) Fraud in payment and electronic clearing means; n) Interest rates on balances and new credit operations charged to their clients, considering maturity and currency of operations, as well as information on granted credits and received deposits; o) Table of foreign exchange operations and coordinated survey on direct investment (CDIS).
4. The submission of the aforementioned information must be carried out electronically, monthly, by the fifteenth day of the following month to which it relates.
5. The Bank of Mozambique establishes by Circular the reporting models for the information referred to in this Notice.

Article 4 Information on Securities

1. The submission of information on emissions, transactions and positions of securities to the Bank of Mozambique must be carried out as follows: a) For each security, per investor and per country of residence; b) When the investor is an individual, it must be submitted in aggregate form, by country of residence of security holders; c) It must contain securities issued by residents and non-residents, when traded or held by residents, namely: i. Treasury Bills; ii. Commercial Paper; iii. Bonds; iv. Shares; v. Investment fund units; vi. Other securities.
2. The aforementioned information must be reported in Meticals. Article 5 Information on the Payments System Communication of information on the Payments System must be carried out as follows: a) Information on ATMs, POS, accounts, cards, mobile banking and internet banking subscribers, interbank transactions and service unavailability must be reported by province and respective districts; b) Information on subscribers of accounts, cards, internet banking, mobile banking and electronic money must be disaggregated by gender and age group; c) Information on SWIFT message flows must be reported in aggregate form; d) Information on remittances must be reported in aggregate and detailed form; e) Information on fraud in payment means must be reported for each payment mean and collection modality. Article 6 Information on Interest Rates
3. Information on interest rates for active and passive operations must be reported considering maturity, prime rate, special credit lines, currency, amount, average, maximum and minimum rates.
4. Information on interest rates for new operations must be reported considering client and credit details, namely NUIT (Tax Identification Number), beneficiary name, province, disbursement date, client type, currency, amount, associated prime rate, spread, rate, rate type, maturity, purpose, credit type and sector of activity. Article 7 Information on Credits and Deposits
5. Reporting of information on credits must be carried out considering institutional and sectoral sectors, purpose, utilization, demand, supply, repayment, recovery and territorial distribution.
6. Reporting of information on deposits must be carried out considering institutional sectors, type, currency and territorial distribution. Article 8 Information on Foreign Exchange Operations
7. Statistics on foreign exchange operations must report import and export data of goods and services, primary and secondary income, capital transfers, financial account transactions and complementary operations, relating to client and institution operations.
8. CDIS statistics must report data on the institution's external asset and liability positions. Article 9 Sanctioning Regime Violation of the provisions of this Notice constitutes an offense punishable under applicable legislation. Article 10 Clarification of Doubts Doubts arising from the interpretation and application of this Notice must be submitted to the Statistics and Reporting Department of the Bank of Mozambique. Article 11 Entry into Force This Notice enters into force ninety days after the date of its publication. Bank of Mozambique, in Maputo, March 27, 2020. — The Governor, Rogério Lucas Zandamela. Price — 30.00 MT NATIONAL PRESS OF MOZAMBIQUE, S.A.