The following activities, linked or related to the provision or management of payment methods as defined in Article 12 of Regulation No. 03/16/CEMAC/UMAC/CM, are considered payment services such as:
- Credit institutions as defined by the Convention of January 17, 1992, on the harmonization of banking regulations in the Central African States;
- Microfinance institutions as defined by Regulation No. 01/02/CEMAC/UMAC/COBAC/CM of April 13, 2002, concerning the conditions for carrying out and monitoring microfinance activities in the CEMAC region;
- The Public Treasury and postal check services, subject to the specificities related to their status;
- Other approved institutions.
The provision by a service provider of a payment service not covered by its license (change or expansion of activity) is subject to prior authorization from the COBAC. The institution may only provide the new service from the date of issuance of the prior authorization by the COBAC.
The use of a new technical solution for a payment service whose provision is authorized to a payment service provider is subject to prior notification by the COBAC. The institution may only use the technical solution from the date of issuance of the COBAC's notice of no objection.
The application for authorization or prior notification must be submitted in duplicate by the requesting institution to the President of the COAC, against receipt.
The required documentation for the application for authorization or prior notification is set by COBAC regulations.
From the date of receipt of the complete application, the COBAC has three months to issue a decision and notify the institution of its decision or opinion. The absence of a decision or opinion by the end of this period constitutes prior authorization or a notice of no objection.
When an application for authorization or prior information is incomplete, the COBAC (Central African Banking Commission) informs the applicant in writing and requests the missing information or documents. In this case, the processing time is suspended until the missing information or documents are received.
As part of the review process, the COBAC is authorized to request from the applicant institution any information deemed necessary for the examination of the application.
COBAC may only issue prior authorization or a no-objection notice if it is satisfied that;
- The applicant institution presents sufficient guarantees of compliance with the operating conditions set out in these regulations,
- The provision of the payment service or the use of the technical solution does not jeopardize the continued existence of the institution.
COBAC shall ensure that there is consistency between the payment service for which the authorization referred to in article 29 paragraph I of the regulations is sought, the proposed strategy, the program of activities that the applicant plans to implement and the resources envisaged, in particular the adequacy of the own funds proposed in order to determine the institution's ability to comply with prudential standards at the start of business and thereafter.
Where the consistency referred to in the previous paragraph is not established, COBAC may require, within a time limit that it shall set, that the resources envisaged by the applicant be reinforced.
Failing application of the measures provided for in the preceding paragraph, COBAC shall issue an unfavourable opinion.
For the application of Article 32 of the Regulation, the Banking Commission shall refer the matter to the Central Bank so that it may give its opinion on the suitability of the technical solution proposed for the provision of the payment service, in particular with regard to the following points;
Technical and functional standards;
Security and efficiency of information systems;
Quality of transmissions and network access;
Interoperability of the technical solution, where applicable.
When the provision of the payment service is envisaged via a mobile phone solution, the BEAC ensures that the institution provides proof of authorization from the body referred to in Article 19 of these regulations for the use of the technology specific to this service.
From the date of receipt of the application, the BEAC has two months to make a decision and notify its opinion to the COBAC. The absence of a decision by the end of this period constitutes a favorable opinion from the BEAC. The BEAC's reasoned unfavorable opinion is binding on the COBAC.
The prior authorization or the COBAC's opinion of no objection is notified to the requesting institution, with copies sent to the Monetary Authority, the BEAC National Directorate, and the National Credit Council. The prior authorization or the notice of no objection is published by the COBAC in at least one of the main press organs of the State of establishment at the expense of the requesting establishment.
The refusal of prior authorization or a duly justified objection is notified to the requesting institution, with copies sent to the Monetary Authority, the National Directorate of the BEAC, and the National Credit Council.
COBAC maintains and updates the list of payment service providers holding prior authorization or a notice of no objection to the provision of payment services.