The Banking Commission is responsible for ensuring that banking intermediaries comply with the legislative and regulatory provisions issued by the Ministerial Committee of the Central African Monetary Union (UMAC), the national monetary authorities, the Central Bank, or by itself, and for penalizing any observed breaches.
The supervision of banking intermediaries is carried out through documentary and on-site inspections by the Banking Commission.
When COBAC identifies deficiencies in the oversight of a banking intermediary, it takes all corrective or restructuring measures stipulated in Regulation No. 02/14/CEMAC/UMAC/COBAC/CM against the principal credit institution.
The Banking Commission may impose disciplinary and/or financial sanctions on a principal credit institution in the event of serious misconduct in the performance of its duties as a banking intermediary.
In such cases, the disciplinary and financial sanctions applicable to the principal credit institution are those stipulated in Regulation No. 02/14/CEMAC/UMAC/COBAC/CM of April 25, 2014, concerning the treatment of credit institutions in difficulty, and Regulation No. 01/18/CEMAC/UMAC of December 21, 2018, concerning the financial sanctions applicable to natural and legal persons subject to the Banking Commission of Central Africa, and their subsequent amendments.
In the event of a breach of professional conduct by a banking intermediary, the COBAC or its Chairman may, after formally requesting an explanation from the intermediary, issue a warning or order them to take all necessary measures to rectify the situation.
When a banking intermediary's situation warrants it, the COBAC may issue an injunction requiring them to take all measures to improve their management practices or ensure their organization is appropriate to their activities and risks.
The COBAC General Secretariat maintains a register of banking intermediaries, which is regularly updated and published by all appropriate means, including on its website.
The Monetary Authority exercises administrative control over intermediaries in banking operations, which consists of ensuring that they are authorized to operate. Within the framework of this administrative control, it is empowered to request from intermediaries in banking operations, as well as from any other person or organization whose assistance may be required, all information or supporting documents necessary for carrying out the controls provided for in this article.