Intermediaries in banking operations in Cameroon carry out their activities under a mandate issued by a credit institution. This mandate specifies the nature, conditions, and procedures for the services that the intermediary is authorized to perform.
The practice of the profession of intermediary in banking operations within the territory of any CEMAC member state is subject to prior authorization from the Monetary Authority, granted after approval by the Banking Commission. It is regulated by Reglement-COBAC-R-2023-02-intermediaires-en-operations-de-banque
An intermediary bank is a bank that acts on behalf of the bank sending money in order to facilitate international financial transactions.
Intermediaries in banking ensure that capital flows efficiently between those who have it and those who need it.
APPLICATION FILE FOR PHYSICAL PERSONS TO OPERATE INTERMEDIARY BANKING OPERATIONS IN CAMEROON
For individual banking intermediaries:
- A curriculum vitae written in French, duly dated and signed;
- A certified copy of a valid official identity document (national identity card or passport);
- Two passport-size photographs;
- Certified copies of diplomas;
- Certified copies of employment certificates;
- A criminal record extract dated less than three months prior, issued by the competent authorities of the applicant's country of nationality and by those of their country of residence;
- A sworn statement by which the applicant attests that they are not subject to any of the prohibitions or incompatibilities stipulated by applicable regulations;
- A valid residence permit for foreign nationals;
- A certificate of no outstanding taxes issued by the tax authorities of the country of taxation;
- A certificate of non-bankruptcy or non-subjection to insolvency proceedings;
- A draft agency agreement between the intermediary and a credit institution, specifying the nature and conditions of the transactions that the intermediary is authorized to carry out etc.
PROHIBITIONS AND INCOMPATIBILITIES
No one may practice as a banking intermediary:
- If they have been subject to a disciplinary measure, sanction, or conviction as provided for in paragraphs 1 to 4 of Article 27 of the Annex to the Convention of January 17, 1992, on the harmonization of banking regulations in the States of Central Africa, unless they have been reinstated;
- If they have been subject to one of the following sanctions imposed by the COBAC: suspension, compulsory resignation, or withdrawal of authorization as a disciplinary measure, unless they have been reinstated or the period of prohibition from practicing attached to said sanction has expired;
- If the CEMAC banking and financial system holds, directly or indirectly, doubtful debts against its own signature or, at the discretion of the Banking Commission, against those of companies or individuals under its control or direction;
- If it has benefited, directly or indirectly, from loans granted by a credit institution, knowingly and in violation of the institution's internal decision-making process, in deliberate disregard of the limits set by banking regulations, or if it has contributed to the deterioration of the situation of a CEMAC credit institution.
Credit, microfinance, and payment institutions may not be authorized, in addition to their license, to act as intermediaries in banking transactions.
The intermediary in banking operations does not distribute payment services for the principal institution, as defined and in accordance with Regulation No. 04/18/CEMAC/UMAC/COBAC of December 21, 2018, and its subsequent amendments.
However, a natural or legal person holding a mandate as an intermediary in banking operations granted by a credit institution may also act as a distributor or sub-distributor of payment services for that institution, under a separate contract and in accordance with the conditions set forth in Regulation No. 04/18/CEMAC/UMAC/COBAC of December 21, 2018, and its subsequent amendments.
The profession of intermediary in banking operations is incompatible with holding the position of shareholder, director, manager, employee, or auditor of a credit, microfinance, or payment institution.
The profession of intermediary in banking operations is also incompatible with holding high-ranking political, elected, or similar positions that confer jurisdictional immunity.
This incompatibility extends to the spouses and children of the persons referred to in the preceding paragraphs.