Emerging Markets Rates and Currencies Handbook

residents is subject to restriction. Standard KYC documentation is required for a resident or non-resident in the United Republic to open and maintain a foreign currency account as per local regulation. Citi internal requirements also apply. Standard KYC documentation is required for a resident or non-resident in the United Republic of Tanzania to open and maintain a foreign currency account as per local regulation. Citi internal requirements also apply. Deal Management Rollover: Yes. At prevailing market prices. Unwinding: N/A. Early Maturity: N/A. Documentation Requirements Externalization of foreign currency requires supporting documentation evidencing the underlying economic activity for the transaction. Trade Flows • The exporter shall furnish the bank or financial institution through which export proceeds shall be received with all relevant export documentation within seven days after completion of customs export procedures. • The exporter shall ensure that export proceeds are received within the payment period agreed for that transaction which shall not be more than ninety days. • Where a bank or financial institution receives export proceeds beyond ninety days and the exporter fails to notify the bank or financial institution, the bank or financial institution shall require the exporter to furnish reasons for the delay for onward submission to the Bank of Tanzania. • Direct payments in respect of imports, require the importer to submit an invoice and any other relevant supporting documents. Capital Flow and FDI • A resident may remit funds for the purposes of purchasing securities or participatory rights in a collective investment scheme or of an issuer who is making a public issue in the East African Community or the Southern Africa Development Community. • A bank or financial institution shall, before making remittances outside the United Republic in respect of purchase of securities, require the applicant to submit a proof of purchase of securities. • A non-resident shall not purchase, sell or transfer government securities unless he is a resident of the East African Community or the Southern Africa Development Community or a Tanzanian citizen in the diaspora. • For the purpose of engaging in direct investment in the United Republic; a bank or financial institution shall submit a report on receipt of the funds to the Bank in the format prescribed by the Bank. Funds remitted for foreign direct investment in the form of equity shall not be converted into loan. • Foreign credit accommodation to a resident with a tenure exceeding 365 days shall be registered by the Bank and assigned Debt Registration Number. The Debt Registration Number under shall be the reference for disbursement, debt service and any other transaction related to that foreign credit accommodation. Additional Comments The above summary is not a complete overview of the legal and regulatory requirement including the recently published Foreign Exchange Regulations, 2022. Please contact Citibank Tanzania Limited or its affiliates for further guidance. Citibank Tanzania Limited Citibank House, Plot 1962 Toure Drive, Oysterbay P.O Box 71625, Dar es Salaam, Tanzania FX Sales Contact: +255 22 22 11 214/25 /80