Regulatory Alerts2016-03-31
Circular No 106: Development and Development of Free Zones and Industrial Parks
The Bank of the Republic of Haiti issued Circular No 106 to reduce investment costs in authorized free zones and industrial parks by exempting banks from mandatory reserve requirements on local currency loans for these projects. The regulation permits the central bank to provide advances to banks at interest rates between 1% and 3%, provided banks lend to end-borrowers at a fixed rate not exceeding 7% for fifteen years. Banks are mandated to submit detailed quarterly reports on credit evolution in these sectors and face administrative penalties for non-compliance with reporting obligations.
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