Regulatory Alerts2022-01-01
Regarding Operations Having a Particular Character
The Central Bank of Djibouti issues Instruction No. 2022-18/IMF to formally define the permissible primary and ancillary operations for microfinance institutions within the country. The regulation authorizes savings collection and credit granting as core activities, while permitting leasing, foreign exchange, and fund transfers only upon explicit Central Bank approval and compliance with specific operational conditions. Furthermore, it mandates that all microfinance institutions submit detailed periodic reports to the Central Bank covering every transaction they execute.
CENTRAL BANK OF DJIBOUTI
INSTRUCTION NO. 2022-18/IMF REGARDING OPERATIONS HAVING A PARTICULAR CHARACTER
The Governor of the Central Bank of Djibouti,
Having regard to Law No. 118/AN/11/6th L of 22 January 2011 amending the statutes of the Central Bank of Djibouti;
Having regard to Law No. 179/AN/07/5th L of 16 May 2007 regulating microfinance activities on the territory of the Republic of Djibouti;
Having regard to Law No. 117/AN/11/6th L of 25 May 2011 regulating financial cooperatives;
Having regard to the Commercial Code, Book 3 on Company Law;
Having regard to Law No. 119/AN/11/6th L of 22 January 2011 on the establishment and supervision of credit institutions and financial auxiliaries;
Having regard to Decree No. 2018-171/PRE of 08 May 2018 appointing the Governor of the Central Bank of Djibouti.
Orders:
Article 1: As primary activities, microfinance institutions are authorized to carry out the following operations:
- Savings collection;
- Credit granting.
Article 2: As ancillary activities, and subject to authorization from the Central Bank, microfinance institutions may carry out the following operations:
- Leasing;
- Foreign exchange;
- Fund transfers.
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The Central Bank will only grant authorization to carry out the aforementioned operations if the institution meets the specific conditions required for exercising these activities.
Article 3: Microfinance institutions are required to provide detailed information in their periodic reports submitted to the Central Bank regarding all operations they carry out.
Article 4: This instruction shall enter into force upon its signature.
Done in Djibouti, on 14 March 2022
The Governor
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