Regulatory Alerts2023-08-24
Instruction No. 13/98 Modifying and Repealing Instruction No. 10/98 on the Stock Exchange Control Fee
The West African Monetary Union's Regional Council for Public Savings and Financial Markets has issued Instruction No. 13/98 to modify and repeal the stock exchange control fee framework previously set by Instruction No. 10/98. The directive requires the Regional Stock Exchange for Securities (BRVM) to collect a 5% control fee from issuers and securities investment companies, calculated on capitalization commissions and transferred brokerage revenues. All prior conflicting provisions are formally abrogated, with the fee's taxable events explicitly defined as the billing of capitalization commissions and the SGI-to-BRVM brokerage transfers.
WEST AFRICAN MONETARY UNION REGIONAL COUNCIL FOR PUBLIC SAVINGS AND FINANCIAL MARKETS
INSTRUCTION NO. 13/98 MODIFYING AND REPEALING INSTRUCTION NO. 10/98 ON THE STOCK EXCHANGE CONTROL FEE
Having regard to the Convention of 3 July 1996 establishing the Regional Council for Public Savings and Financial Markets, hereinafter referred to as the Regional Council, Having regard to Article 15 of the annex to said Convention, Having regard to Decision No. 001/97 of the Council of Ministers of the West African Monetary Union, in its session of 28 November 1997, adopting the General Regulations on the Organization, Operation and Control of the regional financial market of the UMOA, hereinafter referred to as the General Regulations, Having regard to Article 2 of Decision No. 003/07/98 of the Council of Ministers of the UMOA, in its session of 02 July 1998, authorizing the Regional Council to make deductions from certain categories of revenue of the Regional Stock Exchange for Securities (BRVM) and the Central Depository/Settlement Bank, Having regard to Instruction No. 10/98 on the stock exchange control fee, Having regard to the deliberations of the Regional Council, in its session of 22 September 1998,
THE REGIONAL COUNCIL HAS ADOPTED:
Article 1: The Regional Stock Exchange for Securities of the UMOA is charged with collecting, for the benefit of the Regional Council, a stock exchange control fee.
Article 2: The stock exchange control fee is levied on the amount of revenue collected by the Regional Stock Exchange for Securities under:
- the capitalization commission,
- the brokerage fees paid by the SGI to the BRVM.
Article 3: The taxable event for the fee is constituted by: the billing of the capitalization commission to issuers, the payment to the BRVM of a portion of the brokerage fees collected by the SGI.
Article 4: The fee rate is set at 5%.
Article 5: All prior provisions contrary to this instruction are repealed, and in particular Instruction No. 10/98 of 20 February 1998 on the stock exchange control fee.
Article 6: This instruction shall be published wherever necessary.
Issued in Abidjan, on 22 September 1998 For the Regional Council,
The President L. NAKA 2