Instruction No. 15 bis (Modification No. 4) on Derogation from Legal Prohibitions on Cash or Bearer Instrument Transactions of 10,000 USD or More

BANQUE CENTRALE DU CONGO

THE GOVERNOR

INSTRUCTION NO. 15 BIS TO CREDIT INSTITUTIONS AND FINANCIAL COMPANIES REGARDING THE DEROGATION FROM LEGAL PROVISIONS PROHIBITING ANY CASH OR BEARER INSTRUMENT OPERATION OF AN AMOUNT IN CONGOLESE FRANCS OR OTHER CURRENCY GLOBALLY EQUAL TO OR GREATER THAN THE EQUIVALENT OF USD 10,000

(Modification No. 4)

The Central Bank of Congo;

Having regard to the Organic Law No. 18/027 of December 13, 2018, on the organization and functioning of the Central Bank of Congo, specifically Articles 10, 11, and 25;

Having regard to Law No. 22/068 of December 27, 2022, on the fight against money laundering and the financing of terrorism and the proliferation of weapons of mass destruction, specifically Article 23;

Having regard to Law No. 22/069 of December 27, 2022, on the activity and control of Credit Institutions;

Orders the following provisions:

TITLE I: GENERAL PROVISIONS

CHAPTER 1: OBJECT

Article 1:

This Instruction aims to define the exceptional cases and conditions required for the settlement in cash or by bearer instrument by "covered institutions" of an operation involving an amount in Congolese Francs or other currency globally equal to or greater than the equivalent of USD 10,000 (Ten Thousand US Dollars).

CHAPTER 2: SCOPE OF APPLICATION

Article 2:

This Instruction applies to the credit institutions and financial companies listed below, hereinafter referred to as "covered institutions":

(i) credit institutions:

• banks;
• savings banks;
• microfinance institutions;
• savings and credit cooperatives;

(ii) financial companies:

• leasing companies;
• factoring companies;
• guarantee companies;
• micro-credit enterprises;
• exchange bureaus;
• payment institutions, including payment instrument issuers, electronic money institutions, and financial messaging services;
• specialized financial institutions, including development banks and investment banks.

Article 3:

It shall also apply to any approved structure whose nature of activities makes it subject to the prerogatives entrusted to the Central Bank of Congo.

CHAPTER III: DEFINITIONS

Article 4:

For the purposes of this Instruction, the following terms are understood as:

• "covered institution" in a served financial institutions zone: a geographical space, namely a locality, sector, territory, or city equipped with a covered institution, a banking agent, or a payment device such as Automated Teller Machines (ATMs) or Bank Teller Machines (BTMs), in accordance with the list of served geographical spaces published by the CBC;
• "covered institution" in an unserved financial institutions zone: a geographical space, namely a locality, sector, territory, or city lacking a covered institution, a banking agent, or a payment device such as Automated Teller Machines (ATMs) or Bank Teller Machines (BTMs), in accordance with the list of served geographical spaces published by the CBC;

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BANQUE CENTRALE DU CONGO

• CENAREF: National Financial Intelligence Unit.
• operation: refers to various banking operations, namely the collection of deposits, the granting of credits, and the management of payment instruments.

TITLE II: EXCEPTIONAL CASES AND CONDITIONS

Article 5:

Any cash or bearer instrument operation of an amount equal to or greater than the equivalent in Congolese Francs of USD 10,000 (Ten Thousand US Dollars) or in any other currency is authorized when:

• it is intended to be settled in zones not served by covered institutions;
• it is carried out by a bank, for operational needs notably at counters, in favor of a savings and credit cooperative, a microfinance institution, a micro-credit enterprise, a financial messaging service, an exchange bureau, and a banking agent. In this case, the covered institution is required to undertake all diligence related to the obligation of vigilance and monitoring of operations in accordance with the provisions of Instruction No. 15 of the Central Bank of Congo. However, if the covered institution detects a suspicious operation, it is required to file a suspicious activity report with the CENAREF.

When a deposit operation is carried out by a client for an amount greater than the amount indicated in the first paragraph of this Article, the covered institution is required, with regard to the obligation of vigilance, to undertake all required diligence aimed notably at identifying the client and monitoring their operations to ensure the lawful origin of deposited funds and, where applicable, to detect suspicious operations.

Article 6:

The covered institution is required, before carrying out any operation in accordance with the exceptional conditions indicated in Article 5 of this Instruction, to undertake all diligence related to the obligation of vigilance, namely customer identification and monitoring of unusual operations.

Within the framework of this obligation of vigilance, the covered institution submits this operation to a particular examination and ensures that it is not carried out under conditions of unusual or unjustified complexity, or appearing to lack economic justification or a lawful purpose. It also ensures, before settling operations requested by its clients, the adequacy between the economic profile of the beneficial owner and the history of transactions carried out in their bank account.

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BANQUE CENTRALE DU CONGO

CONTINUED, PAGE 4

Article 7:

When, following the diligence mentioned in Article 6 of this Instruction, the covered institution has not detected anomalies regarding the identity of the client or the beneficial owner, nor regarding the nature of the transaction, it authorizes the operation and informs the CENAREF in writing through a confidential report containing all information in accordance with Article 54 of the law on the fight against money laundering and the financing of terrorism and the proliferation of weapons of mass destruction.

Article 8:

The derogation concerns, until further notice, the settlement in cash or by bearer instrument of operations carried out by both natural and legal persons regularly established in zones served or not served by covered institutions and operating there legally.

Article 9:

The covered institution is not required to request prior approval from the Central Bank of Congo before settling an operation in accordance with the conditions indicated in Article 5 of this Instruction.

The covered institution rules on the client's request by proceeding with the required diligence and provides a response to the latter without directing them to the Central Bank of Congo to solicit any derogation which it is not empowered to grant.

TITLE IV: MISCELLANEOUS AND FINAL PROVISIONS

Article 10:

Any failure to comply with the provisions of this Instruction is subject to the sanctions provided for by the legal and regulatory texts in this matter.

Article 11:

This Instruction repeals all prior provisions contrary to it and enters into force on the date of its signature.

Done in Kinshasa, on SEP 01, 2023

MALANGU KABEDI MBUVI
Governor

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