Notice No. 14/2014 of 18 December on Capital Operations - Import of Capital Associated with External Private Investment

Published in the Official Gazette, 1st Series, No. 223, of December 24

NOTICE No. 14/2014

SUBJECT: CAPITAL OPERATIONS

• Import of capital associated with external private investment

Law No. 20/11 of May 20, the Private Investment Law, determines that the exchange operations referred to therein are subject to the regime established in exchange legislation. Under Article 66 of the aforementioned law, the licensing of capital import operations is requested by the applicant to the National Bank of Angola, through an authorized financial institution for foreign exchange trading, upon presentation of the Private Investment Registration Certificate (CRIP);

For its part, Article 3 of Law No. 5/97 of June 27, the Exchange Law, stipulates that the National Bank of Angola is the Exchange Authority of the Republic of Angola, and may delegate its powers to other entities regarding specific activities;

Thus, it being convenient to simplify the capital import process and contribute to the continuous improvement of the business environment in the country;

Under the combined provisions of paragraph 2 of Article 28 of Law No. 5/97 of June 27, the Exchange Law, and Article 40 of Law No. 16/10 of July 15, the National Bank of Angola Law;

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I DETERMINE:

Article 1. (Object) This Notice defines the procedures for the licensing and registration of capital import, within the framework of the implementation of external private investment projects approved under the Private Investment Law.

Article 2. (Licensing of Capital Import)

1. The issuance of the Private Investment Registration Certificate (CRIP) by the national entity responsible for authorizing private investment automatically confers upon external investors the authorization (license) to import capital, with only the registration of the external investment with the National Bank of Angola being necessary, as stipulated in Article 3 of this Notice.
2. In the case of investments provided for in paragraphs 3 and 4 of Article 91 of Law No. 20/11 of May 20, the import of capital may be directly carried out with banking financial institutions, and registration must be effected with the National Bank of Angola, as stipulated in Article 3 of this Notice.

Article 3. (Registration of Investment at the BNA)

1. The registration of external investments under Law No. 20/11 of May 20 with the National Bank of Angola is mandatory.
2. The aforementioned registration is effected through banking financial institutions, within 72 hours from the date they acknowledge receipt of the funds, or, when it concerns the reinvestment of profits or the application of foreign currency availability, on the date the external investor presents to the banking financial institution the CRIP authorizing the aforementioned operations.
3. The registration is effected, by remitting to the National Bank of Angola by banking financial institutions the documents indicated below, duly analyzed, according to the form of realization of the investment: a) Investment realized through transfers of funds denominated in foreign currency originating from abroad or from accounts domiciled in the country held by non-residents: i. CRIP authorizing the investment; ii. Launch Note as specified in paragraph 1 of Article 5 of this Notice. b) Investment realized in the form of reinvestment of profits through the application in national territory of the total or part of the profits generated by an external investment and which, under Law No. 20/11 of May 20, are eligible for export: i. CRIP authorizing the investment. c) Investment realized by means of the import of equipment, machinery, and other goods: i. CRIP authorizing the investment. ii. Proof of verification by the banking institution, according to the model attached, of the documents attesting to the definitive entry into the country of the equipment, machinery, and other goods and of the competent document issued by a pre- or post-shipment inspection entity, regarding the value.

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4. The registration of external investments with a value lower than the minimum limit of Article 3 of Law No. 20/11 of May 20 is effected by means of sending, by banking financial institutions to the National Bank of Angola, the Launch Note referred to in paragraph 1 of Article 5 of this Notice.
5. Once the registration is verified, the National Bank of Angola must notify the national entity responsible for approving the private investment.
6. External investors must take the necessary precautions to ensure that the registration of the capitals referred to in their projects is kept updated with the National Bank of Angola.

Article 4. (Competencies of Banking Financial Institutions)

1. For the purposes of paragraph 2 of Article 76 and paragraph 4 of Article 91 of Law No. 20/11 of May 20, the launch note issued by a banking financial institution domiciled in the country, as established in paragraph 1 of Article 5 of this Notice, produces effects of proof of entry of capital into the country.
2. It is incumbent upon banking financial institutions to obtain from external investors the necessary documentation, as established in Article 3 of this Notice, and to evaluate it before sending it to the National Bank of Angola.

Article 5. (Procedure for the Import of Monetary Means)

1. After the receipt of funds in the beneficiary entity's account, the banking financial institution must provide interested parties with a proof containing the details of the banking operation, namely a launch note, attesting to the credit of the values, as well as identifying the banking institution from which the funds originate, the originator, and the date of fund entry.

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Article 6. (Verification of the Origin of Funds) Banking financial institutions and investors are responsible for the regularity and fairness of transactions carried out within the framework of the execution of external investments, and must observe the provisions of the legislation on combating money laundering and the financing of terrorism.

Article 7. (Offenses)

1. Offenses against the provisions of this Notice committed by banking financial institutions are punishable under the terms of Law No. 13/05 of September 30, the Financial Institutions Law.
2. Exchange-related offenses against the provisions of this Notice committed by entities responsible for the execution of external investments are punishable under the terms of Law No. 05/97 of June 27, the Exchange Law.

Article 8. (Doubts and Omissions) Doubts and omissions resulting from the interpretation and application of this Notice are resolved by the National Bank of Angola.

Article 9. (Revocation) Section B of point 6 of Instructional No. 1/03 of February 7 is hereby revoked.

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(Entry into Force) This Notice enters into force on the date of its publication.

PUBLISH.

Luanda, December 18, 2014.

THE GOVERNOR JOSÉ DE LIMA MASSANO