Regulatory Alerts2020-06-08
Circular Letter No. 01/DMA/2020: Explanatory Note on Foreign Exchange Position
The Central Bank of Angola issued Circular Letter No. 01/DMA/2020 to clarify the concept, calculation method, and compliance limits for banking financial institutions' foreign exchange positions. The directive mandates daily end-of-day calculations, requiring institutions to immediately sell excess long positions or purchase short positions via the FXGO platform or directly with the central bank to stay within 2.5% of regulatory own funds. Non-compliance triggers daily sanctions under Law No. 12/15, including prohibitions on foreign currency sales or purchases until positions are restored.
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