Circular 12/2017: Executive Procedures and Controls for Transferring Salaries of Foreign Workers with Approved Contracts in the Private Health Sector

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

Reference: Am/N 804 Circular No. R.M.N (2017/12) Date: 3rd of Rabi' al-Awwal 1439 AH Corresponding to: 21st of December 2017 AD

To: General Managers of Banks Subject: Executive Procedures and Controls Regarding the Regulation of Transactions for Transferring Salaries and Entitlements of Workers with Approved Employment Contracts in the Private Health Sector

Greetings,

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

And with reference to the periodic letter No. R.M.N (2012/35), issued on 07/02/2012 AD, regarding the disbursement and transfer of financial entitlements for foreign labor with approved employment contracts.

And with reference to our periodic letter No. Am N (2016/47) dated 11/01/2016 AD, in which we urgently requested the referral of all requests received from private commercial banks regarding transfer requests for foreign medical elements meeting all conditions according to the controls issued by the Central Bank of Libya in this regard, according to the new mechanism via the electronic system for all foreign currency transactions.

And emphasizing the necessity to adhere to the controls and instructions issued by the Central Bank of Libya, we inform you of the issuance of the Central Bank of Libya instructions as follows:

Controls Related to Procedures for Submitting Requests by Workers with Approved Contracts. Submission of a complete file by the transfer applicant (the worker) through the system prepared for this purpose by the Department of Banking and Currency Control, Audit, and Review, which must include the following documents:

1. A certified certificate from the Ministry of Health and the union of clinics supervising the entity where the worker is employed, confirming the validity of its procedures and its supervision.
2. A copy of the contract concluded between the entity and the worker, attested by the Ministry of Labor.
3. A certified certificate from the authorized person at the clinic or hospital where the worker is employed, or the competent authorities supervising self-funded entities, specifying the value of the salary or entitlements, confirming the worker's continued employment, the contract duration, and a copy of the valid visa.
4. A clear and valid copy of the identity card and entry visa indicating entry to Libya.
5. The maximum amount allowed to be transferred during the month is $1,375.00, or its equivalent in other foreign currencies.
6. A valid copy of the worker's tax payment.
7. No transfer shall be made except to the customer who has been assigned the Banking Number (CBL - Client Key) in the electronic system of the Central Bank of Libya.
8. The bank managing the worker's account shall be notified of the approval granted for the transfer of his entitlements.
9. Banks shall open a foreign currency account for the worker and issue an international electronic card or make an external bank transfer for direct debit against the account balance, to be used in accordance with international controls.
10. A commitment must be obtained from the worker stating that no banking transfers will be made except through one account at one of his bank branches.

Therefore, you are requested to give the matter the required attention, and to insist on all branches and departments with jurisdiction in your bank branches, and to take the necessary measures to implement the aforementioned instructions, so that the specialized departments and units in your banks oversee the procedures taken in this regard, generally within their delegated competencies. The Egyptian branches designated by you and the concerned departments will be subjected to periodic inspection missions to verify their compliance. In case of non-compliance, penalties stipulated under the provisions of Law No. (1) of 2005 concerning Banks and its amendments will be applied.

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

Mohammed Ammar Al-Muzoughi Deputy Director of the Banking and Currency Control Department For Field Supervision, Policies, and Education Matters

To: Mr. Governor Mr. Deputy of the Libyan Court of Accounts Mr. Deputy of the Administrative Control Authority Mr. Director of the Legal Affairs Department at the Central Bank of Libya Mr. Director of the Banking and Currency Control Department at the Central Bank of Libya Mr. Director of the Accounts Department at the Central Bank of Libya Mr. Chairman of the Committee for Covering Bank Shares with Correspondents Abroad at the Central Bank of Libya Mr. Director of the Central Bank of Libya Branch (Bayda - Benghazi - Sirte) Mr. Director of the Information Unit Mr. Deputy Director of the Banking and Currency Control Department for Office Supervision and Compliance Follow-up Mr. Deputy Director of the Banking and Currency Control Department for Field Supervision, Education, and Policies Mr. Heads of Compliance Units in Commercial Banks and Follow-up Mr. Representative of Banking Follow-up and Compliance Tracker

Circular No. 2017/12