Regulatory Alerts2024-10-01
Circular No. 002/RC/2023 on Time Limits for Pre-Importation Goods Consumption and Stakeholder Responsibilities Under Foreign Exchange Regulations
The Banque de la République du Burundi issued Circular No. 002/RC/2023 to mandate a three-month customs verification window and an automatic six-month import-export blocking mechanism in the ASYCUDA-World system for pre-paid goods. The regulation requires commercial banks to immediately register payments and cross-reference declarations, while obligating importers to reimburse unclaimed foreign currency within six months if goods remain uncleared without valid cause. These provisions enforce strict stakeholder accountability and streamline foreign exchange compliance for pre-importation transactions.
BANQUE DE LA REPUBLIQUE DU BURUNDI
LE GOUVERNEUR
CIRCULAIRE N° 002/RC/2023 ON TIME LIMITS FOR PUTTING GOODS INTO CONSUMPTION PAID BEFORE IMPORTATION AND ON STAKEHOLDER RESPONSIBILITIES FOR THE PROPER COMPLETION OF IMPORT OPERATIONS, ISSUED UNDER FOREIGN EXCHANGE REGULATIONS
Pursuant to Law No. 1/34 of December 2, 2008 establishing the Statutes of the Banque de la République du Burundi;
Pursuant to Law No. 1/17 of August 22, 2017 governing banking activities;
Pursuant to the Foreign Exchange Regulations of December 28, 2023;
The Banque de la République du Burundi, hereinafter referred to as the "Central Bank", hereby issues:
Article 1 : Object
This circular aims to specify the time limits for putting into consumption goods paid before importation and to clarify the responsibilities of stakeholders in ensuring the proper completion of import operations.
Article 2 : Time limit for commercial banks to verify the proper completion of operations for payments made before importation
Banks must ensure that payments made before importation are justified, a posteriori, by a customs declaration of the paid imports, in the ASYCUDA-World system, within a time limit not exceeding three (3) months.
Article 3 : Blocking of import-export operations for importers in default of importation
Beyond six (6) months after payment without corresponding goods, all import and export operations of the concerned importer are automatically blocked by the ASYCUDA-World system until the customs clearance of the imports for which foreign currency has been paid.
Article 4 : Registration of payment in the ASYCUDA World system
Banks must immediately register any payment made on an Import Declaration (DI) and attach proof of payment, in the ASYCUDA-World system.
If the bank making the payment differs from the one that validated the DI, it is required to register the payment in the ASYCUDA-World system by referencing that DI.
In case of returned foreign currency, commercial banks are required to register the returned amounts in the ASYCUDA-World system.
Article 5 : Reimbursement by the importer of foreign currency paid without corresponding goods
Any importer whose ordered and paid goods are not cleared through customs without valid reason within a period of six (6) months from the payment date must reimburse, via an account used for the transfer, the foreign currency paid, without prejudice to potential legal proceedings.
Article 6 : Entry into force
This circular enters into force on the day of its publication on the Central Bank's website and in the Official Gazette of Burundi.
Done in Bujumbura, on December 28, 2023
Edouard Normand BIGENDAKO
Governor