Angola | 2021.04.22
New Rules for Purchase of Foreign Currency and Transfer of Foreign Currency to Outside the Country by Individuals

Through Order No. 5/21, of 14 April 2021, which will come into force on 14 May 2021, the BNA established the rules and procedures to be observed in the performance of foreign exchange transactions: the purchase of foreign currency or the transfer of own resources in foreign currency to outside the country by foreign exchange-resident and non-resident individuals. The Order does not apply to the transfer of income of foreign employees in the oil sector who are foreign exchange non-residents, nor to the transfer of certain capital income (interest on bank deposits and securities) and dividends, which are governed by specific legislation.

The Order covers the following transactions made by foreign exchange residents

  • current invisible transactions, namely: (a) the coverage of expenses with travel, legal services, health and education, and unilateral transfers of a private nature, including for family support and donations; (b) the transfer of resources imported or accumulated by a foreign citizen during their residence in the country under a residence permit, at the end of their stay or fulfillment of a mission in the country;
  • operations to import goods, namely the coverage of the acquisition from abroad of goods and equipment for personal use;
  • financial and capital transactions, notably: (a) financing contracted from a financial institution abroad; (b) the acquisition of real estate or real estate assets abroad.

 

The Order covers the following transactions made by foreign exchange non-residents:

  • (i)      the transfer of remuneration from dependent employment;
  • (ii)     the transfer of imported resources to the country;
  • (iii)    the transfer of capital income.

 

The transactions covered by the Order are exempt from licensing by the BNA, without prejudice to their mandatory registration with SINOC. Operations to import goods carried out by individuals are subject to their own regulations (please refer to Order No. 4/21).

Foreign exchange resident individuals over 18 years of age may purchase foreign currency or use their own funds in foreign currency for any purposes abroad, including investments and personal and family expenses, up to the cumulative amount equivalent to USD 250,000, per calendar year, regardless of the payment instrument used. The BNA may authorize transfers of a higher amount than the limit established, at the request of the interested party to their commercial bank, with due justification.

The following operations are exempt from any annual limit: (i) the payment of expenses for health, education, accommodation, transport and legal service fees, when made directly to the providers of these services or authorized agents; (ii) the transfer of resources accumulated by foreign citizens who are foreign exchange residents during their stay in the country, at the end of said stay; (iii) the transfer of resources imported into the country and declared upon entry by foreign citizens who are foreign exchange residents.

Foreign employees who are foreign exchange non-residents and who engage in a remunerated activity in the country must open a foreign exchange non-resident account in a banking financial institution based in Angola, in which their income must be domiciled. Employees can buy foreign currency and transfer abroad any income earned legally under an employment contract. They can do this at any time and with any regularity exceeding that of the receipt of the relevant income.

Order No. 5/21 shall repeal Order No. 17/20, of 3 August 2020.

For more information on this Banking Alert please contact:

[email protected]

Would you like to subscribe our publications?
Subscribe Here