Notice No. 4 of 2022, dated February 3

PUBLISHED IN THE OFFICIAL GAZETTE, FIRST SERIES, NO. 23, OF FEBRUARY 3, 2022 NOTICE NO. 04/2022 SUBJECT: FINANCIAL SYSTEM

• Expansion of Financial Services Given the need to promote the updating of rules and procedures for the hiring and operation of banking agents and payment agents, aiming to enhance the expansion and access to financial products and services for the population throughout the country, contributing to the increase of financial inclusion levels. It is advisable to strengthen mechanisms adequate to facilitate access to credit and overcome the constraints faced by companies and individuals in accessing the financial resources necessary for the pursuit of their activities, particularly regarding pricing conditions, terms, and guarantees for financing. Pursuant to Article 77 of Law No. 14/21, of May 19, General Regime of Financial Institutions Law, and Article 17 of Law No. 40/20, of December 16, Payment System of Angola Law, combined with paragraph f) of number 1 of Article 31 and paragraph f) of number 1 of Article 54, both of Law No. 24/21, of October 18, National Bank of Angola Law. I DETERMINE:

CHAPTER I General Provisions

Article 1. (Object) This Notice establishes the specific rules applicable to Financial Institutions wishing to expand their activities throughout the national territory, through the hiring of banking agents, including for credit intermediation activities, as well as the hiring of payment agents.

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Article 2. (Scope) This Notice applies to all Financial Institutions under the supervision of the National Bank of Angola that develop credit activities and provide payment services.

Article 3. (Definitions) For the purposes of this Notice, the following shall be understood as: a) Branch: establishment in the country of a Banking Financial Institution or Non-Banking Financial Institution with headquarters in Angola, which lacks legal personality and directly carries out, in whole or in part, operations inherent to the company's activity or is a supplementary establishment of a branch in the country of a Banking or Non-Banking Financial Institution with headquarters abroad. b) Banking Agent: legal entity that represents and provides services inherent to the activity of the Banking Financial Institution in facilities not belonging to it, under terms previously agreed upon by the parties. c) Agent or Payment Agent: natural or legal person who provides services on behalf of a payment service provider. d) Formal Agent: legal entity authorized to develop the activities set forth in paragraph a) of number 1 of Article 13. e) Informal Agent: natural person authorized to develop the activities set forth in paragraph b) of number 1 of Article 13. f) Beneficiary: natural or legal person to whom the funds resulting from a payment operation are destined. g) Client: natural or legal person who uses the products and services of a Financial Institution, whether or not contractually bound to it. h) Commissions: monetary payments demanded from clients by Financial Institutions as remuneration for services provided by them within their activity. i) Intermediation Contract: the contract concluded between a client and a banking agent authorized to develop credit intermediation activities, through which the terms and conditions of credit intermediation services are established. j) Binding Contract: the contract concluded between a single lender, a single group, or a number of lenders or groups that does not represent the majority of the market, and a binding banking agent, fixing the terms of the relationship between the parties. k) Credit: act by which a Banking or Non-Banking Financial Institution, acting for consideration, places or promises to place funds at the disposal of a natural or legal person against the promise of the latter to repay them on the due date, or to incur, in the interest of the same, an obligation by signature, such as a guarantee. l) Expenses: charges borne by Financial Institutions that are payable to third parties and can be passed on to clients, notably payments to land registries, notarial offices, or those of a fiscal nature. m) Business Days: days of the week, excluding Saturdays, Sundays, and holidays, on which Banking Financial Institutions are open to the public for all functions. n) Deposit: contract by which an entity (depositor) entrusts money to a Banking Financial Institution (depositary), which acquires the right to dispose of it for its business and assumes the responsibility to return an equivalent amount, with or without interest, within the agreed period. o) Contracting Institution: Financial Institution that hires a banking agent or payment agent.

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p) Credit Intermediary: legal entity that, for remuneration of a monetary nature or another form of economic consideration, freely agreed upon, participates in the credit granting process in this capacity, in accordance with the provisions of Article 11 of this Notice. q) Banking Financial Institution: also known as a Bank, a company whose main activity consists of receiving deposits or other repayable funds from the public, in order to apply them on its own account, by granting credit. r) Interoperability - capacity for interconnection and interaction between different payment systems, payment arrangements, instruments, and payment services of different participants in the Payment System of Angola; s) Brand: sign or set of nominative, figurative, or emblematic signs that allow distinguishing the products or services of a company from others identical or similar. t) Lender: any entity authorized to professionally exercise the activity of granting credit in Angola, in accordance with Law No. 14/21, of May 19, General Regime of Financial Institutions Law. u) Banking Financial Operations Carried Out by the Banking Agent: services provided to the public by the banking agent outside the headquarters and branches of Banking Financial Institutions, supervised by the National Bank of Angola.

Article 4. (Responsibilities)

1. The banking agent and payment agent act on behalf of and under the guidance of the Contracting Institution, which is responsible for acts carried out within the scope of the activities for which they were hired.
2. Without prejudice to the provisions of the preceding paragraph, the banking agent and payment agent must comply with requirements regarding conflict of interest management and the obligation of confidentiality.
3. The Contracting Institution must ensure that the banking agent or payment agent has adequate security control policies to protect the integrity, reliability, confidentiality of transactions carried out, and the privacy of relevant information and computer systems, as well as compliance with the standards applicable to the activity performed.

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Article 5. (Duty of Secrecy)

1. The management and supervisory bodies of banking agents and payment agents, their employees, agents, commissioners, and other persons who provide them with services, permanently or occasionally, are subject to the duty of secrecy, under the terms of Article 142 of Law No. 14/21, of May 19, General Regime of Financial Institutions Law.
2. The facts or elements referred to in the preceding paragraph may be disclosed with client authorization and transmitted to banking agents and payment agents.
3. The facts and elements covered by the duty of secrecy may only be disclosed: a) To the National Bank of Angola, within the scope of its duties; b) To police and judicial authorities, within the scope of a criminal proceeding; c) To the tax administration, within the scope of its duties; and, d) When there is another legal provision that expressly limits the duty of secrecy.

Article 6. (Supervision) The Contracting Institution must create technical and operational conditions so that the supervisory body has timely access to information related to carried-out operations and all supporting elements of the activity of the banking agent and payment agent.

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Article 7. (Duty of Training) The Contracting Institution must guarantee adequate and continuous training for the banking agent and payment agent, aiming at compliance with: a) Obligations imposed by this regulation and other legislation in force; b) The code of conduct in force at the Contracting Institution; and, c) Anti-money laundering, counter-terrorist financing, and counter-proliferation of weapons of mass destruction rules.

Article 8. (Prevention of Money Laundering and Terrorist Financing and Proliferation of Weapons of Mass Destruction)

1. The exercise of the activity of banking agent and payment agent must be in compliance with legislation on the prevention of money laundering and terrorist financing and the proliferation of weapons of mass destruction.
2. Contracting Institutions must adopt appropriate measures to identify, assess, monitor, and control money laundering and terrorist financing and proliferation of weapons of mass destruction risks, as well as develop and implement necessary information tools or systems for the identification and mitigation of these risks.

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CHAPTER II General Terms and Conditions of the Activity of the Banking Agent and Payment Agent

Article 9. (Eligible Entities and Hiring Criteria)

1. Banking agent or payment agent services may be exercised by private legal entities, duly authorized to exercise their main activity, if applicable, namely: a) Commercial companies; b) Private educational institutions; c) Fixed and/or mobile telecommunications operators; d) Postal sector operators; e) Microfinance institutions; f) Credit cooperatives; g) Microcredit companies; h) Non-governmental organizations (NGOs); i) Associations and Foundations; and, j) Payment service providers.
2. Without prejudice to the preceding paragraph, natural persons duly authorized may be payment agents.
3. The following are not eligible for the category of banking agent and payment agent: a) Natural or legal persons that include members of the public administration, who exercise professional activity related to games of chance and fortune companies; b) Entities whose administrative body or equivalent includes members covered by the provisions of paragraph e) of number 1 of Article 10 of this Notice;

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c) Legal persons that include members of the public administration, who have been indicted, accused, or convicted of economic nature crimes; d) Entities whose exclusive or main object is the provision of banking agent or payment agent services, or whose corporate control is exercised by the Contracting Institution or that are in a control relationship through a common entity; and, e) Entities whose direct or indirect corporate control is exercised by an administrator of any companies that are in a group relationship with the Contracting Institution.

Article 10. (General Requirements)

1. The banking agent and payment agent must meet the following requirements: a) Exercise agent activities according to the unilateral guidelines of the Contracting Institution, which assumes full responsibility for services provided to clients; b) Exercise agent activities in accordance with current legislation; c) Sign, at the time of hiring, a declaration attesting to having taken knowledge of the legislation pertaining to the respective activity, committing to comply with it; d) Exercise an economic activity and possess adequate physical facilities and human resources, if applicable, capable of ensuring the secure and efficient provision of services; e) Not have defaulted credit, nor a record of issuing checks without sufficient funds; f) Segregate bank accounts by contract with different payment service providers, if applicable; and, g) Managers and partners of entities eligible as banking agents must meet the suitability requirement, as stipulated in Article 62 of Law No. 14/21, of May 19, General Regime of Financial Institutions Law.
2. The entity wishing to be hired as a banking agent or payment agent must provide the Contracting Institution with, at a minimum, the following information: a) Valid activity license, or equivalent document, issued by the competent authority; b) Proof of compliance with tax obligations, issued by the respective tax office, if applicable; c) Address and contact details; and, d) Proof of possession of financial resources or funds to ensure banking agent or payment agent activities, notably cash deposits and withdrawals, when applicable.

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Article 11. (Permitted Activities for the Banking Agent)

1. The banking agent is permitted, under this Notice, to carry out the following activities: a) Reception and forwarding of requests for opening and closing bank accounts; b) Opening of simplified accounts via self-service channels / Digital platforms; c) Intra-bank and inter-bank transfers; d) Reception of deposits for savings and other applications previously defined by the Contracting Institution; e) Cash deposits and withdrawals, within limits established by the Contracting Institution, taking into account the risk profile associated with transaction volumes and the security conditions of the banking agent; f) Make service payments; g) Receive and forward to the Contracting Institution, credit hiring proposals; h) Provide assistance to clients in preparatory acts for credit contracts, or other pre-contractual management work regarding credit contracts not presented or proposed by themselves; i) Conclude credit contracts with clients on behalf of lending institutions; j) Loan disbursement; k) Reception of loan repayments; l) Provision of bank account balances; m) Provision of account statements, with minimum information defined by the Contracting Institution; n) Reception and forwarding of proposals regarding credit operations of the Contracting Institution; o) Reception and forwarding of requests for issuance and replacement of debit, credit, and prepaid cards; p) Provision of debit, credit, and prepaid cards; q) Reception and sending of national remittances; and, r) Enrollment in insurance products.
2. Banking agents may develop activities reserved for payment agents set forth in Article 13 of this Notice.

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Article 12. (Prohibited Activities for the Banking Agent) It is prohibited for the banking agent, under this Notice, to carry out the following activities: a) Carrying out overdraft debit operations; b) Credit advances to be made available by the Financial Institution; c) Carrying out foreign exchange operations; d) Providing any type of guarantee in credit contract operations; e) Carrying out banking operations subject to supervision by the National Bank of Angola; f) Concluding credit contracts to be granted by a natural or legal person. g) Issuing, in their favor, obligations related to intermediated operations; h) Charging any fees, commissions, or services related to service provision that have not been previously agreed upon with the Contracting Financial Institution; i) Using in their corporate name expressions that suggest activities typical of Banking Financial Institutions, notably “bank”, “banker”, “of credit”, “of deposits”, “financial leasing” or other similar terms denoting the exercise of activity typical of Financial Institutions; and, j) Subcontracting the exercise of the banking agent activity.

Article 13. (Permitted Activities for the Payment Agent)

1. The payment agent is permitted to carry out the following activities: a) Formal Agent: i. Registration, opening, and closing of payment accounts; ii. Distribution of electronic money; iii. Cash in and cash out of currency, within limits established by the Payment Service Provider and in accordance with the Instruction on Value Limits in Payment Systems. iv. Service payments; v. Electronic money reimbursement; vi. Provision of payment account balances;

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vii. Provision of payment account statements, with minimum information defined by the Payment Service Provider; viii. Initiation (reception of currency) and finalization (provision of currency) of the national remittance process; ix. Handling user complaints, under terms previously agreed with the Payment Service Provider; and, x. Other activities that the National Bank of Angola may authorize. b) Informal Agent: i. Distribution of electronic money; ii. Cash in and cash out of currency, within limits established by the Payment Service Provider and in accordance with the Instruction on Value Limits in Payment Systems; iii. Service payments; and, iv. Other activities that the National Bank of Angola may authorize. 2. Without prejudice to the preceding paragraphs, the function of network agent manager agent is reserved to the formal agent.

Article 14. (Prohibited Activities for the Payment Agent) It is prohibited for payment agents to carry out the following activities: a) Issuance of electronic money; b) Charging any fees, commissions, or charges related to the exercise of activities not provided for in the Payment Service Provider's price list; c) Making unauthorized advances on behalf of the Payment Service Provider; d) Carrying out foreign exchange operations; e) Subdelegating or subcontracting the activities and services they provide on behalf of the Payment Service Provider; and, f) Carrying out banking agent operations.

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Article 15. (Technology Used and Monitoring of Banking Agent or Payment Agent Activities)

1. The Contracting Institution must ensure that transactions carried out by the banking agent or payment agent occur in a system compatible with that of the Contracting Institution and allow for data security and integrity, as well as their audit.
2. Whenever possible, transactions of the banking agent or payment agent must occur in real time.
3. The Contracting Institution must ensure that the banking agent or payment agent has adequate and compatible technological systems with those used by payment system and clearing operators, allowing identification and monitoring of transactions set forth in Articles 11 and 13 of this Notice, if applicable.
4. The Contracting Institution may make the following payment means available to the banking agent: a) Automated Teller Machine (ATM), provided the following conditions are observed: i. specific contract between the parties; ii. management, security, and protection conditions that guarantee its proper functioning and use by clients; and, iii. capacity for the banking agent to perform support services. b) Automated Payment Terminals (APT), upon conclusion of a specific contract between the parties.
5. The Contracting Institution must designate the nearest support and monitoring banking branch for the banking agent's activities.

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CHAPTER III Hiring of the Banking Agent or Payment Agent

Article 16. (Minimum Contract Clauses and Remuneration of the Banking Agent or Payment Agent)

1. The activities carried out by the banking agent and payment agent, set forth in Articles 11 and 13 of this Notice, must be defined in a written contract, concluded with the Contracting Institution.
2. The contract referred to in the preceding paragraph must contain, at a minimum, clauses on the following aspects: a) The activities to be carried out; b) The rights and obligations of the parties; c) Identification of the formal or informal agent; d) Commercial license, if applicable; e) Address and contact details; f) Agent remuneration, including the agreed fixing conditions; g) Merchant card number, if applicable; h) Agent's bank or payment account number, used for payment of remuneration for services provided and for payment services, if applicable; i) Handling of user complaints, under terms previously agreed with the Contracting Institution; j) A statement that service provision is subject to the standards of this Notice and other applicable legislation; k) Commissions agreed between the parties for charging certain services provided to the user; l) A reference that the National Bank of Angola must be granted total and timely access to internal control systems, documents, reports, archives, and the banking agent's or payment agent's employees, whenever necessary; m) A statement that managers, partners, or equivalents of the banking agent or payment agent must not perform management functions, on terms equivalent to those of a management member or employee of the Contracting Institution; n) The obligation for the banking agent or payment agent to ensure the protection of records, data, documents, or processes relevant to carried-out operations, establishing, for this purpose, the duty to transfer them to the Contracting Institution at regular intervals previously specified; o) A statement that all information and data collected by the banking agent or payment agent regarding services provided, relating to clients and/or the Contracting Institution, is the property of the Contracting Institution and that all documents received within the scope of the banking agent or payment agent service provision must be delivered to it; p) The obligation for the Contracting Institution to ensure the collection, at the banking agent's or payment agent's establishment, of documents proving transactions carried out in excess cash, within a reasonable timeframe, considering the risk profile and location of the banking agent or payment agent, and the volume of transactions carried out; q) A specification that the banking agent or payment agent and their employees, if applicable, are bound by the duty of secrecy established in