Regulatory Alerts2024-02-01
BCEAO Temporary Exclusion of UMOA Public Securities from Prudential Loan Norms for Shareholders, Executives, Staff and Auditors
BCEAO issued Opinion No. 002-04-2023, authorizing credit institutions to temporarily exclude UMOA member state public securities from their portfolios when calculating the prudential loan limit for major shareholders, executives, staff, and auditors. This exclusion takes immediate effect upon the April 11, 2023 signature date and binds all notified credit institutions. The regulatory change permits financial entities to lower their reported loan exposures to these categories without disposing of the underlying assets, thereby increasing portfolio flexibility under existing prudential frameworks.
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