Group of six banks in Angola will be entitled to 80% of foreign currency sold in the primary market

28 March 2017

The National Bank of Angola will select a group of five or six commercial banks that will be provided with 80% of the foreign currency that the central bank places on the primary market, according to the first five measures of a proposal on the “Adjustment of the operational framework of the foreign exchange market.”

The five or six commercial banks selected from among the 28 operating in the Angolan market, are, according to the document cited by Angolan newspaper Expansão, Banco Angolano de Investimento, BIC, Banco Económico, Banco Millennium Atlântico, Banco de Negócios Internacional, and Banco Sol.

The remaining 22 banks authorised for foreign exchange will have access to the remaining 20% ​​of the currency placed on the primary market where the BNA buys and sells foreign currency to banks, as opposed to the secondary market where banks buy and sell currencies to customers.

The proposal from the Finance Ministry was prepared based on five criteria, namely the history of operations, internal control capacity, compliance with regard to money laundering and combating terrorism, respect for the priorities set by the government and robustness and solidity.

The amount of currency to be sold will be determined quarterly by the government, based on a proposal from the National Bank of Angola and in the case of the portion allocated to food and the basic basket of goods the central bank’s proposal will be made in conjunction with the Ministries of Trade and Finance. (macauhub)