Revised CATS Procedure Dec.20161

Article 8
Closure of the Account
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
8.1 A fixed-time deposit foreign-currency account mentioned under Article 4 of
this directive can be closed upon request by the depositor with a notification of
not less than five working days. Withdrawal of the fund prior to its maturity is
subject to a penalty, which could be the forgoing of interest thereon.
8.2 If a fixed-time deposit is not closed upon maturity, the opening bank may renew
it, in consultation with the depositor.
8.3 A fixed-time deposit account may be withdrawn against the deposit certificate
and the specimen signature previously left with the bank, or according to the
prearranged procedure.
8.4 A foreign-currency account will not be opened, if there is sufficient proof that
the money was acquired through money laundering or from the financing
services of a terrorist organization.
Article 9
Interest Rates
9.1 No interest shall be paid on a non-resident foreign-currency current account.
9.2 Commercial banks are allowed to set their own interest rates on non-resident
fixed-time foreign-currency accounts, provided that the interest rate does not
exceed the prevailing LIBOR rate.
9.3 Interest on a non-resident fixed-time foreign-currency deposit shall be payable
only if the foreign currency was kept for a minimum period of three months.
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