Central Bank of Libya

P.O. Box 11103
Telegram Address: LibyaBank - Tripoli - Libya

Reference: Mr/N 804
Circular No. Mr N (2014/2)
Date: 1 Ramadan
Corresponding to: 29 June 2014

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To the Brothers / General Managers of Commercial Banks To the Brothers / Heads of Temporary Administrative Committees in Commercial Banks To the Brother / General Manager of the Libyan External Bank

Greetings:

Based on the provisions of Law No. (1) of 2005 concerning Banks and its amendments, and on the supervisory and regulatory role exercised by the Central Bank of Libya over commercial banks in accordance with the provisions of the aforementioned law.

We inform you that the Board of Directors of the Central Bank of Libya issued Decision No. (17) of 2014, at its third meeting of 2014 held on 28/05/2014, concerning certain procedures and controls organizing the implementation of collection operations.

And as we send you a copy of the Decision of the Board of Directors of the Central Bank of Libya mentioned above, it is requested that you take the necessary measures in this regard.

Peace, mercy, and blessings of God be upon you……

"Abdul Majid Muhammad Al-Maqouri"
Director of Banking and Currency Supervision Department / Acting

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Copy to Mr. / The Governor
Copy to Mr. / The Deputy Governor
Copy to Mr. / The General Director of Customs Authority Copy to Mr. / The General Director of Legal Affairs Department - Central Bank of Libya Copy to Mr. / The Director of Accounts Department - Central Bank of Libya Copy to the Brothers / Branch Managers of the Central Bank of Libya (Benghazi - Sabha - Sirte) Copy to the Banking Follow-up and Compliance Monitoring Department

A. Arouba * A. 1
A. Ghurabat 17

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www.cbl.gov.ly, swift code:CBLJLYLX, +218 21 444 1488 : Fax, +218 21 333 3591 : Phone

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Central Bank of Libya
P.O. Box 1103
Telegram Address: LibyaBank - Tripoli - Libya

Board of Directors

Decision of the Board of Directors of the Central Bank of Libya, No. (17) of 2014, Concerning Certain Procedures and Controls Organizing the Implementation of Collection Operations

Board of Directors of the Central Bank of Libya

Having reviewed Law No. (1) of 2005 concerning Banks, amended by Law No. (46) of 2012.
And the decisions, circulars, and instructions issued pursuant thereto.
And Circular No. (10) of 2012 concerning the controls organizing the settlement of documents for collection.
And the memorandum submitted by the Banking and Currency Supervision Department, concerning the proposed controls to regulate the settlement of the value of incoming documents for collection. And as concluded by the Board of Directors in its third meeting of 2014, held on Wednesday, 28/05/2014.

Decided

Article One

In addition to the controls contained in previous circulars, the following procedures are taken to organize document operations for collection:

1. Restricting imports via collection documents through land borders to goods originating from neighboring countries only.
2. Requiring the mention of the invoice value in the certificate of origin.
3. It is required to certify certificates of origin from the Libyan Embassy, with the necessity of verifying their authenticity via the Chamber's website or by contacting the Commercial Chamber in that country via email.

Central Bank of Libya
Decisions
Department

www.cbl.gov.ly , swift code:CBLJLYLX , +218 21 444 1488 : Fax, +218 21 333 3591 : Phone

Central Bank of Libya
P.O. Box 1103
Telegram Address: LibyaBank - Tripoli - Libya

Board of Directors

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4. Directing the importer (document holder) to the Customs Authority with a copy of the invoice to determine the estimated value of customs duties, which will be withheld in advance from their account on behalf of customs, then transferred to the customs account.

5. Banks are held responsible for examining collection documents and verifying them, with activating the role of the compliance unit, in accordance with what was stated in the Banks Law No. (1) of 2005 and its amendments.

6. Determining the commission value on remittances against collection documents, so that it becomes 2.0% of the value of the documents.

Article Two

This Decision shall be implemented from the date of its issuance, and the Banking and Currency Supervision Department and the Main Information Unit are to take the necessary measures to put it into effect.

Ali Muhammad Salim
Deputy Governor
Deputy Chairman of the Board of Directors

Issued on: 28 May 2014

www.cbl.gov.ly , swift code:CBLJLYLX , +218 21 444 1488 : Fax , +218 21 333 3591 : Phone