Financial Activities in Cabo Verde: A Guide to Licensing and Supervision
Cabo Verde is an emerging financial hub in West Africa, offering various financial activities. To participate in these activities, you must obtain necessary licenses from the country’s central bank, Banco de Cabo Verde.
Licensing Requirements
The following financial activities require licensing:
- Acting in interbank markets
- Leasing of movable property under the terms allowed by financial leasing companies
- Transactions involving precious stones and metals
- Consulting services for companies on capital structure, business strategy, and related issues
- Acquisition of equity interests in companies
- Provision of business information
- Rental of safes and custody of securities
To obtain a license, you must submit a request to Banco de Cabo Verde, along with the required documents and fees.
Governing Bodies
Banco de Cabo Verde also supervises governing bodies of financial institutions, including members of management and supervisory boards. These individuals are subject to special registration with the central bank, regardless of their corporate governance structure.
Qualifying Holding
A qualifying holding is a direct or indirect holding in a financial institution that represents more than 5% of the share capital or voting rights. Any natural or legal person intending to acquire such a holding must notify Banco de Cabo Verde in advance.
Banking System Indicators
Banco de Cabo Verde publishes quarterly reports on the main financial and prudential indicators of credit institutions with general authorization. This information provides aggregated data on the Cabo Verdean banking system, including:
- Balance sheets
- Income statements
- Financial stability indicators
Microprudential Supervision Policy
The microprudential supervision policy aims to establish guidelines for supervising financial institutions in Cabo Verde. The policy is based on good international practices and recommendations, designed to ensure the stability of the country’s financial system.
Conclusion
Engaging in any financial activity in Cabo Verde requires careful consideration of licensing requirements and regulatory framework. By understanding these requirements, you can ensure compliance with the law and operate a successful business in this growing financial hub.