Regulatory Alerts2016-11-15
BCEAO Instruction 032-11-2016 on the Accounting Treatment of Collection Operations
The Governor of the Central Bank of West African States (BCEAO) issues this Instruction to standardize the accounting treatment for collection operations performed by banks and banking financial institutions within the UEMOA region. It mandates that subject establishments record discounted commercial bills, instruments with immediate credit, and unavailable instruments in designated on-balance-sheet or off-balance-sheet accounts until maturity or actual collection, while specifying precise debit and credit entries for dispatching instruments into the SICA-UEMOA clearing circuit and processing their returns. Furthermore, it establishes accounting rules for contributions to, replenishments of, and loans from the Regional Guarantee Fund for SICA-UEMOA Balance Settlement, effectively replacing all prior provisions and entering into force on 1 January 2018.