Regulatory Alerts2016-06-08
Directive No. 5 on Activities and Specific Liquidity Norm for Development Banks
The National Bank of Rwanda issued Directive No. 5 to define permissible and non-permissible activities for development banks, including project financing, trade finance, and equity investments while prohibiting retail deposits and pension fund management. The directive mandates that these institutions maintain a minimum liquidity ratio of 100 percent, calculated monthly using a standardized reporting format submitted to the central bank. All prior conflicting provisions are repealed, and the directive takes effect upon its signature on June 8, 2016.
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