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1993-11-15

Notice No. 15/1993 of November 16

The National Bank of Angola issued Notice No. 15/93 to harmonize foreign exchange regulations and align them with recent market developments. The notice reduces the mandatory minimum foreign currency reserve requirement for commercial banks to 70%, permitting the remaining 30% to be deployed in normal operations at the banks' sole risk without central bank exchange coverage. It also requires daily reporting of resident, non-resident, and overseas deposit positions to the Directorate of Reserve Management and clarifies that previous mandatory pass-through rules will only apply to deposits attracted after the new directive takes effect.

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NOTICE No. 15/93

of December 16

Through Instruction No. 01/91 of October 4 and Notice No. 7/92 of August 12, Commercial Banks were authorized to attract foreign currency deposits, subject to the obligation of maintaining such funds in specific accounts with a correspondent bank abroad; Simultaneously, it was established that the Central Bank may, whenever necessary, require a minimum percentage of the foreign exchange received in those accounts to be passed on; Considering the need to harmonize and clarify the aforementioned regulations, as well as to adjust them to the recent evolution of the foreign exchange market in the Country; In exercise of the competence established in Article 42 of the Organic Law of the National Bank of Angola; I HEREBY DETERMINE:

Article 1

  1. The minimum amount to be maintained abroad in the specific accounts referred to in Article 3 of Instruction No. 01/91 of October 4 and in Article 8 of Notice No. 7/92 of August 12 is reduced to 70% of foreign currency deposits.
  2. The excess margin of 30% may be used by Banks in their normal operations, at their own account and risk, and without exchange coverage guarantee from the Central Bank.

The requirement referred to in Article 5 of Instruction 01/91 of October 4 and Article 10 of Notice No. 7 of August 12 shall only apply to foreign currency deposits that are subsequently attracted - whether in new or old accounts - after the entry into force of the Instruction by which the Central Bank establishes the mandatory pass-through requirement. Article 3 Banks are required to transmit daily to the Directorate of Reserve Management, via fax or telex, the total value in United States Dollars or its equivalent, of the following positions:

  • Foreign Currency Deposits of Residents;
  • Foreign Currency Deposits of Non-Residents;
  • Deposits maintained abroad, pursuant to the provision in point No. 1 of Article 1 of this Notice .

Article 4 This Notice enters into force immediately. Luanda, on December 16, 1993 THE GOVERNOR GENEROSO HERMENEGILDO GASPAR DE ALMEIDA

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