Regulatory Alerts2015-06-01
Notice No. 002-06-2015 on the Procedures for Processing Advance Financing of Merchandise Exports
The Central Bank of West African States (BCEAO) mandates that advance receipts from non-residents for future goods delivery constitute external sales financing, requiring economic operators to declare such contracts within one month of signing. Approved intermediaries must open export domiciliation files, record all payments, and clear them upon shipment using Customs certificates while ensuring payment totals match certificate amounts. Furthermore, operators must transfer any remaining balances within one month of the due date, and intermediaries must repatriate foreign exchange to the Central Bank through official BCEAO channels in compliance with existing regulations.
Notice No. 002-06-2015 on the Procedures for Processing Advance Financing of Merchandise Exports Pursuant to Article 2 of Annex I of Regulation No. 09/2010/CM/UEMOA on the external financial relations of UEMOA member States, the Central Bank of West African States (BCEAO) clarifies that any advance receipt of funds from a non-resident in exchange for the future delivery of goods is considered as advance financing of external sales. In this regard, the following processing procedures apply.
- The economic operator must declare to an approved intermediary, within one (1) month from its signature date, any sales contract in which partial or full payment occurs before the delivery of goods.
- The approved intermediary is required to open an export domiciliation file for the economic operator. All payments received under this framework must be recorded in the domiciliation file opened for this purpose.
- The file clearance is processed upon shipment of the goods, based on the export certificate issued by Customs. Before closing the domiciliation file, the approved intermediary must ensure that the total of payments corresponds to the amount stated on the export certificate.
- When the collected amounts are lower than the revenues indicated on the export certificate, the economic operator is required, pursuant to Article 11 of Annex II of the aforementioned Regulation, to transfer the remaining due amounts within one (1) month from the payment due date.
- The approved intermediary must effect the repatriation of export revenue proceeds through the BCEAO channel. The transfer of foreign exchange to the Central Bank is carried out in accordance with applicable regulatory requirements. Done at Dakar, on June 01, 2015 Tiémoko Meyliet KONE