Somalia

Made under Art. 156 of the Takaful Law 2025. Requires a licence before any takaful operation (Reg. 5(1)) and licences expire each 31 December (Reg. 5(3)). Renewal applications are due by 1 October (Reg. 13), and minimum capital varies by category, for example USD 1,000,000 for a composite takaful operator (Third Schedule). Presenting as a takaful provider without a licence carries USD 100,000 and/or a jail term of at least three years (Reg. 5(4)).

Requires banks to hold a core capital adequacy ratio of at least 8% (Art. 3.1.1) and total regulatory capital of at least 12% (Art. 3.1.2), with monthly reporting to the Central Bank (Art. 5(1)). Takes effect on 1 January 2024 (Art. 7).

Sets two bank licence categories, a two-phase application process, annual renewal, and minimum capital (USD 7 million paid-up for full banks; USD 20 million assigned capital for restricted banks). Section 6.1(vii) requires applicants to comply with the AML/CFT Law of 2016 and KYC requirements.

Issued under Chapter XIV, s. 108 of the Financial Institution Law 2012. Names processes, people, systems and external events as operational risk causes, with system failures, data loss and cyber-attacks among the examples (ss. 5.1-5.2), and requires banks to submit operational risk event reports to the Central Bank quarterly (s. 7). Has no dedicated outsourcing section. Effective 1 May 2020 (s. 8).

Requires banks to submit certified audited annual financial statements to the Central Bank for approval by 31 March (s. 2.4) and to publish them in the Official Bulletin and a widely circulated newspaper by 30 April (s. 2.5).

Requires owners of money transfer businesses (hawalas) other than banks to be licensed by the Central Bank (Regs. 2, 5), sets a USD 60,000 performance security (Reg. 20) and requires an AML programme with a compliance officer in the licence application (Reg. 10(b)(xv)).