Banking, assurances and microfinance sectors objectives are the creation of specialized financial institutions and operational efficiency of existing banks. The DRC’s banking system is comprised of the BCC and 18 commercial banks as well as savings/credit cooperatives, microfinance institutions, financial transfer services, and one development bank, SOFIDE. A postal checking system and several credit cooperatives exist and the Citibank-DRC, a wholly-owned subsidiary of Citigroup, is the only U.S. bank in the DRC.
Potentials
A market of around 70 million people;
18 commercial banks, 1 saving bank;
3 specialized financial institutions;
3 institutions of electronic money;
2 saving and credit cooperatives;
23 micro-finance institutions;
55 Messengers and 15 currency exchange offices;
Sectors fully open to competition.
The enactment of the law on the liberalization of insurance;
The adoption of a more liberal banking law in compliance with international standards;
The enactment of the law on leasing in 2015;
The enactment of the Law of micro-finance institutions in 2011;
The enactment of the new currency exchange regulation in 2014.
Creation of business specialized banks: development bank, settlement bank, farming bank, etc
Creation of a structured financial market;
Creation of micro-finance institutions in the countryside, where live more than 70% of the population who are excluded from the formal banking system;
Setting up leasing company;
Creation of insurance companies, reinsurance, health insurance and intermediary in private insurance.
Conditions to approve a banking financial institution
I. Legal framework
Law No. 003/2002 02 February 2002 concerning the activity and supervision of Credit Institutions.
II. Conditions relating to company
Build up a regularly limited company in compliance with OHADA law ;
Justify a minimum capital subscribed and paid up of the equivalent in Congolese francs of $ 15,000,000 (fifteen million dollars);
Meeting general or local economic needs.
III. Conditions relating to officers
No person shall establish, manage or control in any capacity a bank if he has been:
convicted of an offense under the Act No. 003/2002 of February 2, 2002 or the exchange regulations;
declared bankrupt and has not been rehabilitated, even when the bankruptcy opened in a foreign country;
condemned in Congo or abroad to a custodial sentence of at least three months, even conditional, as a perpetrator or accomplice to the offenses or an attempt of one of the following offenses :
counterfeit currency;
forgery or falsification of government paper bank notes, bonds, interest coupons;
forgery or falsification of seals, stamps, dies and trademarks;
forgery and use of forgery;
corruption of public officials or extortion;
theft, extortion, embezzlement or breach of trust, fraud or Concealment;
bankruptcy, fictitious circulation of commercial paper;
money laundering.
convicted of political crimes and offenses assimilated by law to those listed above;
if he took part in the administration, management or in the day management of a credit institution whose forced dissolution was ordered or whose bankruptcy was declared.
IV. Key facts or documents to send to the Central Bank of Congo
The letter of request for approval to be sent to the Governor of the Central Bank of Congo;
The resolution of the constituent general meeting of the company;
The trade register and movable credit;
The national identification number;
The resolution of the extraordinary general meeting of shareholders of those corporations shareholders of the new bank allowing them to take part in the capital of the future bank;
The original of notarized statutes of the new company;
Proof of payment of the minimum capital required (certificate from a local or foreign bank acknowledging to have received on deposit the amount of the aforementioned capital to set up the proposed bank);
The list of shareholders;
Composition of the Board of Directors and the Bank’s Management Committee and the curriculum vitae, the criminal records of members and individual shareholders;
Certified financial statements of the last three financial years of legal entities;
The implementation and organization forecasts;
A statement of general policy that the Bank intends to apply;
A feasibility study including forecasts of activities backed by balance sheets and projected operating accounts over a minimum period of 5 years which shows the project profitability;
Details of the technical and financial means that the credit institution intends to implement.
In addition to the conditions listed above, approval is subject to obtaining by the Central Bank of the Congo of the approval from the Supervisory Authority of the country of origin of the parent company or the main promoters regarding banks with foreign capital. Furthermore, the Central Bank of Congo through its banking supervisory body reserves the right to require any other element or information likely to enlighten its decision.
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