Regulatory Alerts1999-01-01
Single Authorization of Banks and Financial Institutions
The UMOA Council of Ministers established the single authorization mechanism in 1998 to enable duly constituted banks and financial institutions headquartered within the West African Monetary Union to operate, establish branches or subsidiaries, and provide services freely across all member states without obtaining separate national approvals. This framework requires applicants to submit a technical file containing financial projections, business plans, and capital allocations of at least one billion for banks and three hundred million for financial institutions to the National Directorate of the BCEAO, which processes applications through the General Secretariat of the Banking Commission. Final authorization decisions are issued by the President of the Banking Commission following consultation with the finance ministers of both the home and host states, with notifications delivered within three months or upon unexplained silence after one calendar month.