Notice No. 03/95

NOTICE NO. 03/95
Dated June 20
Considering the need to adjust rediscount rates and bank interest rates to the principles and objectives of Monetary Policy; Under Articles 26 and 60 of the Organic Law of the Banco Nacional de Angola; HEREBY DETERMINE:
ARTICLE 1
(Passive Interest Rates)
1- The remuneration rates for deposits are freely determined by the deposit-taking Financial Institutions.
2- Time deposits existing on the date of publication of this Notice will continue to accrue interest at the rates established at the time of their creation. 3- Early withdrawal of time deposits before their maturity date is only permitted after at least half of the agreed period from their creation has elapsed, with the applicable interest rate adjusted to ¾ (three quarters) of the rate that would have been due had the term not been interrupted.
ARTICLE 2 (Active Interest Rates)
1- In operations between the Banco Nacional de Angola and Financial Institutions, the following annual rates are charged:
I. On Treasury Credit Operations
RANGE A: one hundred and fifty-two percent (152%) RANGE B: one hundred and fifty-six percent (156%) RANGE C: one hundred and sixty percent (160%) 1- On Secured Credit Operations, one hundred and fifty-two percent (152%) per annum, calculated on the outstanding balance and payable monthly. 2- The Banco Nacional de Angola will periodically review the aforementioned rates to adjust them to the expected evolution of the inflation level. 3- Financial Institutions will adopt, in their active operations, interest rates to be freely established between the parties, including regarding the immobilization rate on contracted and unused credits. 4- The aforementioned immobilization rate may not be charged if the drawdown follows a utilization schedule established at the time of credit approval.

5- Debtors in default are required to pay an additional rate corresponding to ten percent (10%) per annum on the overdue amount.
ARTICLE 3 (Final Provisions)
1- Notice No. 6/94 of April 15 is hereby repealed.
2- This Notice enters into force immediately.
PUBLISH
Luanda, June 20, 1995

THE GOVERNOR
ANTÓNIO GOMES FURTADO