Regulatory Alerts2021-09-14
Circular No. 06/EMO/2021, of September 14 - Approval of the Mandatory Reserve Incidence Rate and Revocation of Circular No. 01/EMO/2020, of March 16
The Bank of Mozambique issued Circular No. 06/EMO/2021 to establish mandatory reserve coefficients at 10.50% for national currency and 11.50% for foreign currency incidence bases. This directive supersedes Circular No. 01/EMO/2020 and takes effect for the reserve accumulation period beginning October 7, 2021. All interpretation or implementation inquiries regarding this circular must be submitted to the Bank's Markets and Reserve Management Department.
Bank of Mozambique Administration
MONETARY STABILITY DIVISION CIRCULAR NO. 06/EMO/2021
Maputo, September 14, 2021
SUBJECT: APPROVAL OF THE MANDATORY RESERVE INCIDENCE RATE AND REVOCATION OF CIRCULAR NO. 01/EMO/2020, OF MARCH 16
Pursuant to Article 6 of the Regulation on the Calculation and Establishment of Mandatory Reserves, approved by Notice No. 8/GBM/2019, of June 17, the Bank of Mozambique sets:
- The mandatory reserve coefficient, applicable to the national currency incidence base, at 10.50%.
- The mandatory reserve coefficient, applicable to the foreign currency incidence base, at 11.50%.
This Circular enters into force from the mandatory reserve establishment period beginning on October 7, 2021, and revokes Circular No. 01/EMO/2020, of March 16.
Any doubts arising from the interpretation and application of this Circular must be submitted to the Markets and Reserve Management Department of the Bank of Mozambique.