Decree No. 16/2021 – Mandatory Installation and Provision of POS Terminals

Thursday, December 02, 2021 Number 93 SERIES I

[COAT OF ARMS]

SÃO TOMÉ AND PRÍNCIPE OFFICIAL GAZETTE

SUMMARY GOVERNMENT Decree No. 16/2021 Mandatory Installation and Provision of POS Terminals from the dobra24 Network ANNEX

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No. 93 – December 02, 2021 SÃO TOMÉ AND PRÍNCIPE - OFFICIAL GAZETTE SERIES I 1365

GOVERNMENT Decree No. 16/2021

Mandatory Installation and Provision of POS Terminals from the dobra24 Network

Preamble

The concerted efforts to stimulate the National Payments System are essentially, but not exclusively, focused on creating and modernizing technological infrastructures that are coherent and appropriate for the types of operations they process, aiming to facilitate fund transfers in a secure, reliable, transparent, and efficient manner;

Considering the need to align with international best practices in this regard, the Country has been required to adopt a legal and regulatory framework to govern the aforementioned matter, namely Law No. 17/2018 of September 07 – Legal Regime of the National Payments System, and Decree-Law No. 16/2019 – Legal Regime of Payment Service Providers and System Operators, as well as the regulations issued by the Central Bank on the matter.

Furthermore, considering that the use of automatic payment bank cards through the dobra24 network is already a reality;

It is evident, however, that commercial agents and service providers have shown an unremarkable level of adoption in making Automatic Payment Terminals (“POS”) from the aforementioned network available to their customers;

Given that the use of this terminal projects an image of modernization for businesses, primarily due to advantages associated with greater financial inclusion (banking), convenience in paying for goods and services, and security for customers and merchants regarding the reduced availability and handling of cash, a factor that promotes less deterioration of banknotes and coins and consequently reduces costs from successive state issuances, while also adding health benefits in the current context;

It has become necessary to create tools that guide commercial agents and public and private service providers in making POS terminals available in their establishments, aiming to align with the modernization and stimulation strategy of the National Payments System.

In accordance with paragraph c) of Article 111 of the Constitution, the Government decrees as follows:

Article 1. Scope and Object

1. This Decree applies to public and private service providers and commercial establishments operating within the national territory, with the object of establishing the mandatory installation and provision of POS terminals by said entities and establishments.

2. The POS referred to in the preceding paragraph corresponds to that of the dobra24 network.

3. The public entities referred to in paragraph 1 of this article are those defined according to the list attached to this Decree.

Article 2. Acquisition of POS

1. The entities covered by this legislation must acquire the POS terminal through their bank.

2. The terms for obtaining and using POS are governed by the Permanent Application Standard (NAP No. 1/2012) – Regulation on the issuance and use of bank cards (dobra24).

Article 3. Provision of POS

1. The entities mentioned in Article 1 must make POS terminals available to their customers, according to the deadlines stipulated in Article 7 of this Decree.

2. The entities covered by this Decree are prohibited from charging their customers any type of fee for the use of POS.

Article 4. Utilization and limits of values operated through POS

1. The use of POS by customers is optional, although recommended.

2. The minimum value per operation per customer at the POS is Dbs. 50,00 (Fifty Dobras).

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1366 SERIES I SÃO TOMÉ AND PRÍNCIPE - OFFICIAL GAZETTE No. 93 – December 02, 2021

3. The maximum value per customer for each operation is Dbs. 25,000.00 (Twenty-Five Thousand Dobras).

4. The daily operational value per customer must not exceed Dbs. 50,000.00 (Fifty Thousand Dobras).

Article 5. Offence and Penalty

Non-compliance with the provisions of this legislation constitutes an administrative offence and entails for the offender the payment of a fine fixed at Dbs. 1,000.00 (One Thousand Dobras) for each recorded offence.

Article 6. Inspection and Application of Fines

The inspection of compliance with the provisions of this Decree, as well as the application of fines, is the responsibility of:

a) Directorate of Finance Inspection, for public entities and those with State participation; and

b) The Directorate overseeing the commercial inspection area, for private entities.

Article 7. Deadlines for POS Installation

1. By December 31, 2021, all entities in the public sector and those with State participation of São Tomé must install POS terminals from the dobra24 network;

2. Private sector entities must install POS terminals from the dobra24 network, in accordance with the following deadlines:

a) By January 30, 2022: Establishments with an annual business volume (sales) equal to or greater than Dbs. 300,000,000.00 (Three Hundred Million Dobras);

b) By February 28, 2022: Establishments with an annual business volume (sales) equal to or greater than Dbs. 30,000,000.00 (Thirty Million Dobras);

c) By March 31, 2022: Establishments with an annual business volume equal to or greater than Dbs. 3,000,000.00 (Three Million Dobras); and

d) By April 30, 2022: Establishments with an annual business volume equal to or greater than Dbs. 300,000.00 (Three Hundred Thousand Dobras).

Article 8. Entry into Force

This Decree enters into force on the date of its publication.

Reviewed and approved by the Council of Ministers, on November 23, 2021. - Prime Minister and Head of Government, Jorge Lopes Bom Jesus; Minister of Planning, Finances and Blue Economy, Engrácio do Sacramento Soares da Graça; Minister of Justice, Public Administration and Human Rights, Ivete da Graça dos Santos Correia; Minister of the Presidency of the Council of Ministers, Social Communication and New Technologies, Wando Borges de Castro Andrade.

Promulgated on November 30, 2021. - President of the Republic, Carlos Manuel Vila Nova.

ANNEX

List of public entities (National and Regional) obliged to install and provide POS terminals to their customers, as mentioned in point 3 of Article No. 1 of the said Decree proposal

Primacy (Office of the Prime Minister)

National Radio

TVS

Directorate of Commerce

Regional Radio

Ministry of Foreign Affairs, Cooperation and Communities

Migration and Borders Service (SMF)

Foreign Affairs (Document Authentication Section)

Ministry of Public Works, Infrastructure, Natural Resources and Environment

DOPU

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No. 93 – December 02, 2021 SÃO TOMÉ AND PRÍNCIPE - OFFICIAL GAZETTE SERIES I 1367

CADASTRO (Registry)

EMAE

ENAPORT

CORREIOS (Post Office)

CST

Ministry of Planning, Finances and Blue Economy

Directorate of Customs

Directorate of Taxes (Revenue Office)

Ministry of Defence and Internal Order

District Police Commands

Regional Police Command

Ministry of Justice, Public Administration and Human Rights

Notary Office

Registration and Notarization

Reprography

Single Window (Guiché Único)

Ministry of Agriculture, Fisheries and Rural Development

Agricultural Input Supply Store

Ministry of Education and Higher Learning

Directorates of Education

Ministry of Health

Hospital Financial Secretariat

Health Delegations

Medical Posts

Ministry of Parliamentary Affairs, State Reform and Decentralization

Financial Secretariat of District Councils

Secretariat of Services of the Autonomous Region of Príncipe Council

[COAT OF ARMS] OFFICIAL GAZETTE NOTICE Correspondence regarding the publication of announcements in the Official Gazette, its subscription, and lack of delivery should be addressed to the Information Technology and Reprography Center of the Ministry of Justice, Public Administration and Human Rights - Telephone: 2225693 - Postal Box No. 901 - E-mail: cirreprografia@hotmail.com São Tomé and Príncipe. - S. Tomé.