Notice No. 10/GBM/2021, of December 22 – Regulation on the Unique Banking Identification Number

SUMMARY NOTICE The matter to be published in the «Boletim da República» must be submitted as a duly authenticated copy, one for each subject matter, containing, in addition to the necessary indications for this purpose, the following endorsement, signed and authenticated: For publication in the «Boletim da República». IMPRENSA NACIONAL DE MOÇAMBIQUE, E. P. Bank of Mozambique: Notice No. 4/GBM/2021: Establishes the rate applicable to rediscount operations and liquidity financing contracts of a nature comparable to rediscount, and revokes Notice No. 3/98, of May 31. Notice No. 5/GBM/2021: Approves the Regulation on the Market Operations System and revokes No. 5/GBM/2013, of June 6. Notice No. 6/GBM/2021: Approves the Regulation on the Interbank Money Market. Notice No. 7/GBM/2021: Approves the Regulation on the Interbank Foreign Exchange Market and revokes Notice No. 10/GBM/2015, of December 31. Notice No. 8/GBM/2021: Approves the Code of Conduct for Credit Institutions and Financial Companies and for Consumer Financial Protection, and revokes Notice No. 2/GBM/2018, of April 16. Notice No. 9/GBM/2021: Approves the Regulation on Securities Repurchase and Resale Agreement Operations and revokes Notice No. 7/GBM/2015, of November 26. Notice No. 10/GBM/2021: Approves the Regulation on the Unique Banking Identification Number. Wednesday, December 22, 2021 I SERIES — Number 247 BANK OF MOZAMBIQUE Notice No. 4/GBM/2021 of December 22 Given the need to unify the rates applied in rediscount operations and liquidity financing contracts of a nature comparable to rediscount, the Bank of Mozambique, exercising the competence conferred upon it by paragraph 1 of Article 23 of Law No. 1/92, of January 3 – Organic Law of the Bank of Mozambique - determines: ARTICLE 1 Object This Notice establishes the rate applicable to rediscount operations and liquidity financing contracts of a nature comparable to rediscount. ARTICLE 2 Scope This Notice applies to all parties involved in rediscount operations and liquidity financing contracts of a nature comparable to rediscount. ARTICLE 3 Rate The Monetary Policy interest rate (MIMO rate) approved by the Bank of Mozambique is applicable to rediscount operations and liquidity financing contracts of a nature comparable to rediscount. ARTICLE 4 Revocation Notice No. 3/98, of May 31, is revoked, as well as any provision contrary to this Notice. ARTICLE 5 Clarification of doubts Doubts arising from the interpretation and application of this Notice must be submitted to the Markets and Reserve Management Department of the Bank of Mozambique. ARTICLE 6 Entry into force This Notice enters into force on the date of its publication. Maputo, October 28, 2021. – Governor, Rogério Lucas Zandamela.

Notice No. 5/GBM/2021 of December 22 Given the need to update the Regulation on the Market Operations System, the Bank of Mozambique, exercising the competences conferred upon it by paragraph 1 of Article 21 of Law No. 1/92, of January 3 – Organic Law of the Bank of Mozambique - determines:

1. The attached Regulation on the Market Operations System is approved, which constitutes an integral part of this Notice. 2082 I SERIES — NUMBER 247 Regulation on the Market Operations System CHAPTER I General Provisions ARTICLE 1 Object This Regulation establishes the procedures for admission, continued participation, and execution by participating institutions of transactions through the Market Operations System, abbreviated as SOM. ARTICLE 2 Scope of application This Regulation applies to credit institutions that collect public deposits or other repayable funds. ARTICLE 3 Composition SOM is composed of a set of rules and procedures to be observed by the Bank of Mozambique and participating institutions in interbank markets, regarding operations carried out in these markets. ARTICLE 4 Participating institutions Participating institutions of SOM are credit institutions that collect public deposits or other repayable funds and have been authorized by the Bank of Mozambique to participate in SOM. CHAPTER II Participation Procedures ARTICLE 5 Admission and continued participation requirements for credit institutions in SOM
2. The admission and continued participation requirements for credit institutions in SOM are: a) being a credit institution subject to the mandatory reserve contribution regime; b) subscribing to and observing the Code of Conduct for Interbank Markets; c) possessing proven technical-professional capacity, with staff assigned to the financial markets area holding recognized certification in financial markets; and d) Complying with applicable prudential ratios and limits for credit institutions.
3. The Bank of Mozambique defines by Circular the requirements applicable for purposes of the certification referred to in letter c) of the preceding paragraph. ARTICLE 6 Admission procedures to SOM
4. Authorization for admission to SOM must be requested via letter addressed to the Bank of Mozambique.
5. The Bank of Mozambique communicates its decision on the admission request within 10 business days, from the date of receipt.
6. For admission to SOM, institutions must request the Bank of Mozambique to update account opening forms, ensuring these contain the names of persons authorized to operate accounts, within the scope of operations carried out in interbank markets, observing the model attached to this Regulation.
7. For purposes of the annex referred to in the preceding paragraph, entities admitted to SOM must fill in the names of persons authorized to conduct operations in interbank markets.
8. The Bank of Mozambique communicates to each participating institution the access codes to be assigned to the persons referred to in paragraphs 3 and 4, for purposes of conducting operations through the computer application (Meticalnet), for each segment of the interbank market. ARTICLE 7 Duties of participating institutions
9. Participating institutions must respect the rules regarding the markets in which they participate, as well as the operational rules established concerning SOM functioning.
10. Participating institutions must provide information to the Bank of Mozambique whenever requested.
11. Participating institutions must ensure the existence of, at minimum, two Meticalnet users with Communicator profile and three users with Authorizer profile for communication, verification, and approval of operations in interbank markets, guaranteeing the non-transferability of Meticalnet access credentials and the normal functioning of interbank markets. ARTICLE 8 Communication method
12. Participating institutions must transmit, through Meticalnet or another communication means indicated by the Bank of Mozambique, the elements relating to operations they intend to carry out through SOM.
13. The Bank of Mozambique uses the communication means referred to in the preceding paragraph to announce operations it intends to carry out and to transmit their respective results.
14. Communications between the Bank of Mozambique and participating institutions in SOM are, in general, established in real time through Meticalnet, or another communication means indicated by the Bank of Mozambique.
15. The Bank of Mozambique issues vouchers for operations carried out.
16. Notice No. 5/GBM/2013, of June 6, which approves the Regulation on the Market Operations System, is revoked.
17. This Notice enters into force on the date of its publication.
18. Doubts arising from the interpretation and application of this Notice must be submitted to the Markets and Reserve Management Department of the Bank of Mozambique. Maputo, October 28, 2021. – Governor, Rogério Lucas Zandamela.

DECEMBER 22, 2021 2083 ARTICLE 9 Confirmation of operations

1. Operations carried out through Meticalnet must be confirmed by the user with Approver profile, by changing the transmission status from “verified” to “approved”.
2. Confirmation of the operations referred to in the preceding paragraph authorizes, definitively, irrevocably and unconditionally, movements in current deposit accounts opened at the Bank of Mozambique in the name of said institutions, as well as in their respective title accounts, where applicable.
3. If by the closing time of interbank markets there exist operations that, due to lack of communication from one party or for any other reason, do not have the “approved” status, they will be subject to cancellation by the Bank of Mozambique, through Meticalnet. ARTICLE 10 Location and operating hours
4. SOM operates at the Bank of Mozambique, on all business days from 8:00 to 15:30.
5. Operations carried out between participating institutions, in interbank markets, are transmitted throughout the entire operating period of SOM.
6. The Bank of Mozambique informs, through SOM, any changes to the operating hours of SOM and, consequently, of interbank markets. CHAPTER III Final Provisions ARTICLE 11 Warning, Suspension and Exclusion The Bank of Mozambique may warn, suspend or exclude access to all or part of the services provided by SOM to participating institutions, for non-compliance with this Regulation, without prejudice to the initiation of the corresponding contraventional proceedings. ARTICLE 12 Sanctioning regime Violation of the rules of this Regulation constitutes a contravention punishable under Law No. 20/2020, of December 31 – Law on Credit Institutions and Financial Companies. Annex To Bank of Mozambique Av. 25 de Setembro, No. 1695 MAPUTO SUBJECT: Approvers and Communicators of MCI and MMI Operations Excellency, As an addendum to the account opening form held by your institution, we hereby request, in compliance with paragraph 3 of Article 6 of the Regulation on the Market Operations System, that you take note that the following persons are authorized by this institution, in their capacity as Approver, to operate through Meticalnet accounts of ...... (institution name), namely for purposes of approving operations to be carried out in interbank markets to which we have access: Position Name Surname Signature This institution is bound by the signatures of _______ Approver(s) on operations transmitted through the computer application. On operations transmitted by other communication means, this institution is bound by the signature of _______ Approver(s), thus ceasing, for this purpose, the following signatures:

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We take this opportunity to inform that the following persons are appointed as communicators of this institution, for purposes of paragraph 4 of Article 6: Position Name Surname With no further matters at this time, (closing) The legally empowered representative

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Name of the representative(s) Notice No. 6/GBM/2021 of December 22 Given the need to update the regulatory framework governing the Interbank Money Market, the Bank of Mozambique, exercising the competences conferred upon it by paragraph 1 of Article 21 of Law No. 1/92, of January 3 – Organic Law of the Bank of Mozambique - combined with Article 56 of Law No. 20/2020, of December 31 – Law on Credit Institutions and Financial Companies - determines:

1. The attached Regulation on the Interbank Money Market is approved, which constitutes an integral part of this Notice. 2084 I SERIES — NUMBER 247
2. The following are revoked: a) Notice No. 8/GBM/2015, of November 26, which amends Notice No. 7/GBM/2013, of September 18 – Regulation on the Interbank Money Market; b) Notice No. 7/GBM/13, of June 6, which approves the Regulation on the Interbank Money Market.
3. This Notice enters into force on the date of its publication.
4. Doubts arising from the interpretation and application of this Notice must be submitted to the Markets and Reserve Management Department of the Bank of Mozambique. Maputo, October 28, 2021. – Governor, Rogério Lucas Zandamela. Regulation on the Interbank Money Market CHAPTER I General Provisions ARTICLE 1 Object This Regulation establishes the procedures for admission, continued participation, and execution, by participating institutions, of operations in the Interbank Money Market, hereinafter abbreviated as MMI. ARTICLE 2 Definitions For purposes of this Regulation, the following are understood: a) Securities Central Depository - individualized service or platform responsible for custody and maintenance of securities; b) Acquiring institution - participating institution of MMI that receives funds from a transferring institution, for valuable consideration, observing the term stipulated by this Regulation; c) Transferring institution – participating institution of MMI that transfers funds to an acquiring institution, for valuable consideration, observing the term stipulated by this Regulation; d) Participating institutions – credit institutions authorized to participate in MMI under this Regulation. Participating institutions may be acquiring or transferring, depending on the operations they carry out in MMI; e) Interbank Money Market - regulated segment of the Metical money market, in which participating institutions exchange funds represented by balances of their current deposit accounts at the Bank of Mozambique or immobilized and dematerialized book-entry securities, registered in title accounts or at the securities central depository, aiming to balance surpluses and primary currency needs among participating institutions; f) Unfounded underpricing - act of submitting proposals with excessively reduced interest rates or prices, despite accommodating supply of amount or securities. ARTICLE 3 Minimum amount of operations in MMI The amounts of operations carried out in MMI are expressed in millions of meticais, whereby: a) the value of each operation initiated by the Bank of Mozambique must not be less than five million meticais; and b) the value of each operation initiated by participating institutions must not be less than one million meticais. ARTICLE 4 Obligation to conduct transactions in MMI All national currency operations between participating institutions of MMI and between them and the Bank of Mozambique must occur in MMI. ARTICLE 5 Requirements to be observed in transactions
5. In conducting their transactions, participating institutions must observe the following: a) operation amounts must comply with paragraph b) of Article 3 of this Regulation; b) transactions are conducted for a fixed term, which cannot exceed one year; c) whenever the maturity date of transactions does not coincide with a business day, it is considered that the term ends on the immediately preceding business day; d) interest rates are expressed up to the hundredth of a percentage point; e) the day count convention to be observed in operations is ACT/365 (days counted/365).
6. Operations contracted in MMI, with securities as collateral, are subject to the provisions of the Regulation on Securities Repurchase and Resale Agreement Operations.
7. Eligible securities for operations in MMI are the following: a) Treasury Bonds; b) Treasury Bills; c) Monetary Authority Securities; d) Other securities that may be authorized by the Bank of Mozambique.

DECEMBER 22, 2021 2085 CHAPTER II Admission, Continued Participation, Suspension, Exclusion and Readmission of Credit Institutions in MMI ARTICLE 6 Admission and continued participation requirements for credit institutions in MMI To admit to MMI, credit institutions must be participants of the Market Operations System (SOM). ARTICLE 7 Admission procedures to MMI

1. The admission request to MMI must be submitted by letter addressed to the Bank of Mozambique.
2. The decision on the admission request is communicated to the applicant within 10 business days, from the date of receipt, upon verification of admission requirements to MMI.
3. Commencement of activities in MMI is preceded by an inspection carried out by the Bank of Mozambique to assess compliance with requirements for conducting operations. ARTICLE 8 Continued participation, suspension and exclusion of credit institutions from MMI
4. Institutions authorized to participate in MMI must comply with the rules provided in this Regulation, whereby, for this purpose, the Bank of Mozambique conducts continuous evaluation.
5. Without prejudice to the preceding paragraph, if a participating institution violates this Regulation, the Bank of Mozambique may: a) warn the institution; b) suspend the institution's participation in MMI for five business days; c) suspend the institution's participation in MMI for three months; d) exclude the institution from MMI.
6. The Bank of Mozambique reserves the right to issue a public statement identifying the institution, regarding measures taken under the preceding paragraph.
7. Participating institutions may voluntarily request suspension or exclusion from MMI, via duly reasoned application, whereby the Bank of Mozambique may deny the request if it considers that suspension or exclusion may affect the normal functioning of MMI. ARTICLE 9 Readmission to MMI
8. The Bank of Mozambique may readmit an institution previously excluded from MMI, via duly reasoned application.
9. Readmission to MMI is conditioned on resolving the situations that determined exclusion and strict compliance with admission requirements.
10. In cases of exclusion by decision of the Bank of Mozambique, the readmission request may only occur after a minimum period of six months has elapsed. CHAPTER III Liquidity Regulation Operations Carried Out by the Bank of Mozambique with Participating Institutions ARTICLE 10 Liquidity absorption and transfer by initiative of the Bank of Mozambique
11. The Bank of Mozambique carries out, on its own initiative, liquidity absorption and transfer operations with participating institutions, aiming to pursue monetary policy objectives.
12. Liquidity absorption or transfer operations have regular or occasional character and are carried out under conditions announced by the Bank of Mozambique through SOM. ARTICLE 11 Announcement of conditions, deferral terms and maturity
13. The Bank of Mozambique announces, through SOM, the conditions for conducting operations, namely amounts, rates, terms, value dates, securities accepted for transaction and time limits for submitting proposals.
14. The payment date, by debit or credit of the deposit account of the acquiring or transferring institution of securities, may have a deferral of one or more business days relative to the contracting date, such fact being communicated through SOM. ARTICLE 12 Proposals for liquidity absorption and transfer by initiative of the Bank of Mozambique
15. Liquidity absorption and transfer operations carried out by the Bank of Mozambique in MMI are based on proposals submitted by participating institutions, through SOM.
16. When operations are announced in the interest rate auction modality, with or without fixed amount, participating institutions may submit up to three proposals, subject to the following rules: a) proposals for liquidity absorption auctions are fulfilled starting from the lowest interest rate or highest price, successively, up to the limit of amount, interest rate or price; b) proposals for liquidity transfer auctions are fulfilled starting from the highest interest rate or lowest price, successively, up to the limit of amount, interest rate or price; 2086 I SERIES — NUMBER 247 c) when necessary, the amount to be transacted at the last of the interest rates or prices satisfying the preceding letter requirements is allocated proportionally to the amounts proposed by participating institutions at said interest rate or price; d) in case of Treasury Bill placement at pre-fixed interest rate, demand is satisfied according to submitted proposals, without prejudice to proportional distribution of available Treasury Bills among subscribing proposers, if those proposals imply excess demand relative to supply; and e) the Bank of Mozambique may reject auction proposals showing evidence of unfounded underpricing, dispersion of interest rates or prices inconsistent with monetary policy objectives.
17. In proposals, interest rates must be expressed up to the hundredth of a percentage point and amounts must correspond to multiples of one million meticais, with each proposal not being less than the amount established in letter a) of Article 3.
18. In operations carried out with the Bank of Mozambique, it communicates to each participating institution, through SOM, movement amounts on the contracting date and maturity date of operations. ARTICLE 13 Liquidity absorption and transfer by initiative of participating institutions
19. The Bank of Mozambique carries out, on the initiative of participating institutions, liquidity absorption operations through the Permanent Deposit Facility, aiming to regulate banking system liquidity.
20. Also on the initiative of participating institutions, the Bank of Mozambique carries out transfer operations, through the Permanent Transfer Facility, in exchange for purchasing securities, aiming to resolve liquidity shortages.
21. Liquidity absorption and transfer operations by initiative of participating institutions have permanent character and are carried out with value date of the same day at interest rate previously announced by the Bank of Mozambique, through SOM.
22. Operations related to permanent deposit and transfer facilities mature on the business day immediately following their value dates.
23. The Bank of Mozambique may suspend, for an indefinite period and upon prior communication, the permanent deposit and transfer facilities. CHAPTER IV Liquidity Transfer Operations between Participating Institutions ARTICLE 14 Transfer and obtaining of funds
24. Participating institutions may transfer funds held in their respective current deposit accounts at the Bank of Mozambique to other participating institutions, with or without securities as collateral.
25. Operations contracted according to the preceding paragraph are carried out at the negotiated amount. ARTICLE 15 Communication to the Bank of Mozambique Operations must be communicated to the Bank of Mozambique immediately after being negotiated by both participating institutions. CHAPTER V Final Provisions ARTICLE 16 Evidence The Bank of Mozambique, on the value date of operations and