Micro finance institutions within the cemac zone are regulated essentially by the Cobac Regulation mfi r-2017/03 Relative to the Minimum Social Capital for Micro-Finance Institutions of Second and Third Categories.
Cemac Regulation no 01/17/cemac/umac/cobac Relative to the Conditions of Exercise and Control of Microfinance Activities within the Cemac.
Cobac Regulation imf r- 2017/01 on the Judicial Form and Establishment of Microfinance.
First Category Micro Finance Institutions are financial institutions that proceed to the collection of savings of their members, who then use it as credit exclusively to these members. There is no required social minimum capital for these categories of microfinance institutions. However, the constituted capital must be permanently represented and permit as a whole the respect of prudential orders arrived at by the bank commission. (Cobac) .
Category one Financial Institutions are constituted exclusively under the judicial form of cooperatives with a board of directors.
Second Category Micro Finance Institutions are financial institutions that collect savings and award loans to third parties. They are constituted exclusively under the form of a Public Limited Company with a Board of Directors. (S.A).
This category of Microfinance institutions having their head office within the cemac territory must have a social minimum capital equal to three hundred (300) million Francs CFA.
Third Category Micro Finance Institutions are financial institutions that give out loans to third parties without exercising the activity of collecting savings. They must have a social minimum capital of (150) million Francs CFA.
Operating a microfinance in one of the CEMAC Member States is subject to the approval of the Monetary Authority. The said approval is granted after the accord of the bank commission.
