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Revised CATS Procedure Dec.2016
Revised CATS Procedure Dec.2016
Revised CATS Procedure Dec.2016
CATS Procedure |
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
COMMERCIAL BANK OF
ETHIOPIA
December, 2016
CATS Procedure | 1
Commercial Bank of Ethiopia December 2016
1 Contents
1. INTRODUCTION ............................................................................................................................... 1
1.1 Preamble ................................................................................................................................................................................ 1
1.2 Definitions ............................................................................................................................................................................. 2
1.2.1 Terms and concepts ..................................................................................................................................................... 2
1.3 Objectives of the CATS Procedure ........................................................................................................................... 10
1.4 Scope of the procedure ................................................................................................................................................. 10
1.5 Governing rules ................................................................................................................................................................ 10
1.6 The Structure of the CATS Process .......................................................................................................................... 11
1.7 General Authorities and Responsibilities ............................................................................................................. 12
1.7.1 President ........................................................................................................................................................................ 12
1.7.2 Vice President -CATS ................................................................................................................................................ 12
1.7.3 District Manager ......................................................................................................................................................... 13
1.7.4 Director- CATS CPC ................................................................................................................................................... 14
1.7.5 Manager- CATS Operation ..................................................................................................................................... 14
1.7.6 Manager- District Operations ............................................................................................................................... 15
1.7.7 Branch Manager ......................................................................................................................................................... 16
1.7.8 Manager- Cash Custody and Issue ...................................................................................................................... 17
1.7.9 Manager- Customers Account and Operations (at CATS CPC)............................................................... 17
1.7.10 Manager-ATS ............................................................................................................................................................... 18
1.7.11 Head Cash Custody and Issue (LCY/ FCY) ...................................................................................................... 18
1.7.12 Customer Service Manager at Branch............................................................................................................... 19
1.7.13 Customer Service Manager at Cash Custody and Issue ............................................................................. 19
1.7.14 Customer Service Manager at Customers Accounts and Operation (CATS CPC) ...................... 20
1.7.15 Customer Service Manager at ATS ..................................................................................................................... 21
1.7.16 Other Performers ....................................................................................................................................................... 21
2. CUSTOMER CLASSIFICATION ................................................................................................... 22
2.1 Volume and value of Transaction ............................................................................................................................. 22
2.2 Economic Ownership Dimension ............................................................................................................................. 22
2.2.1 Private ............................................................................................................................................................................. 22
2.2.2 Government .................................................................................................................................................................. 23
2.2.3 Public Enterprises ..................................................................................................................................................... 23
2.2.4 Associations .................................................................................................................................................................. 25
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
1. INTRODUCTION
1.1 Preamble
Whereas, the existing procedure served for more than three years and needs
revision in line with the prevailing dynamic and competitive business environment
and to incorporate new products introduced by the bank;
Whereas, to incorporate the lessons gained in using the integrated core banking
solution;
Whereas, there is a need to consolidate various guidelines and memoranda for ease
of reference and compliance;
Now, therefore, it becomes important to review and update the existing CATS
procedure manual in accordance with the current operational requirements in the
bank.
CATS Procedure |
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
1.2 Definitions
1.2.1 Terms and concepts
For the purpose of this procedure, the terms and concepts shall be defined as
follows;-
1. Accounts for Interdicted Persons: shall refer to account opened for a
person designated by a court of law as being incapable of discharging her/his
legal rights, or be interdicted.
2. Accounts for Minors: shall refer to an account opened for an under-aged
individual (minor) by the parent(s)/Tutor of the minor, or by a court order.
3. Administrative Agencies: Shall mean government entities that are
established by the Federal or regional governments in order to provide
special emphasis on some
4. Administrative Entities: shall mean all ministries established under the
federal government and all tiers of regional government.
5. Automated Teller Machine (ATM): shall refer to unattended acceptance
terminal that has electronic capacity, accepts PIN, disburses money, and may
provide balance confirmation, fund transfers between accounts and other
services.
6. Bankers Cheque: shall refer to a type of negotiable instrument like any
cheque; However, it is prepared by banks as per customer request and is
payable upon presentation. It is endorsable to the purchaser only and valid
for six months. It is also known as Cash payment order (CPO).
7. Bio-metrics: shall refer to an electronic device used to capture a digital
image of the finger print pattern.
8. Cash Pick up service shall mean a cash collection service provided for
premium and high value customers from their premises on pre-arranged
schedule and agreement.
9. Cashier Implant - shall mean service provided for high value customers by
assigning employee/s of the bank on the premises of high value customer on
the basis on contractual agreement between the bank and high value
customer.
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17. Customer: shall refer to legal person or natural person with whom the bank
agrees to conduct business.
18. Delinquent list: also referred as mal-operation list and shall refer to the
register held by the National Bank of Ethiopia, indicating the names of
demand deposit account holders whose cheque have been dishonored
repeatedly and whose accounts are closed by our bank.
19. Demand Deposit Account: (a current or checking account) shall refer to a
non-interest-bearing account which is operated by cheque.
20. Diaspora Accounts: Shall refer to a foreign currency accounts opened for
Ethiopians living abroad (who live more than one year abroad); and
Ethiopians by origin but with different nationalities that are referred as
eligible Ethiopians.
21. Document Authentication: shall refer to the process of checking the
genuineness of a document from the issuing organ or other reliable sources.
22. Draft: shall refer to a type of negotiable payment instrument prepared when
requested by the customer, is payable upon presentation and on the
destination specified on it. But if it is cancelled, it can be paid by the
originating branch. It is endorsable and valid for one year.
23. Earmarked Accounts: shall refer to accounts opened with other
descriptions after the name or names of the account holder or holders.
24. ECX Client pay-in: Shall refer to the account maintained by members in
behalf of their client. Similar to member pay in account it serves as
depository account, for which debit entries should be instructed by ECX.
25. ECX Client pay-out: Shall refer to the account maintained by members in
behalf of their client. Like member pay out account the account ownership
rests with the member account holder.
26. ECX Member Pay in Account: refer to an account maintained by trading
members of ECX, which serve as payment guarantee to the buyer and
eventually will be used for payment against the sales agreement between
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37. Fund Transfer: Shall refer to account to account money transfer among
accounts in the CBE or money transfer, initiated by CBE customers, to other
bank customers accounts.
38. High value Transfer: shall refer to fund transfers forwarded from/to other
Banks or Participants and by their nature such transactions are considered
urgent or involve high value transactions.
39. Individual: Shall mean a natural person or group of natural persons that are
not formed in any form of legal person like Business Organizations, Societies,
and Cooperative Societies. Associations and Charities.
40. League: shall mean cooperative society league of Ethiopia established by
cooperative societies at the national level.
41. Mal-operation list: shall refer to the register held by the National Bank of
Ethiopia, indicating the names of demand deposit account holders whose
cheque have been dishonored repeatedly and whose accounts are closed by
our bank.
42. Minor account -shall refer to saving account opened for individuals below
the age of 18 and operated by the individual parent or legal guardians.
43. Mnemonic Shall refer to an alternative and easy means of referring the
customer by inserting the customer name first letter and telephone number.
44. Non-Resident Non-Transferable Birr Account (NRNT): Shall mean an
account maintained in birr. Its Convertibility is not automatic but must be
approved. (All sources for deposits in this account should be in foreign
currency).
45. Non-Resident Transferable Birr Account (NRT): Shall mean an account
maintained in Birr by the debit of which funds can be transferred abroad in
foreign currency without the necessity of obtaining foreign exchange permit
(all sources for deposits in this account should be in foreign currency)
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
CBE to supply goods and services with special discount for holders of the
women saving account for a specific duration.
66. Tailored service shall refer a special service provision extended by the
bank to High value customers; such as assigning the banks employees in
high value customers premises to perform daily banking operation based on
their working relationship and contribution to the profitability and financial
resource mobilization to the bank.
67. Teen - Youth saving account shall refer to minors saving account with a
higher interest rate opened for those individuals found between the ages of
14-17 years.
68. Till number: shall refer to identification number that identifies the staff
involves in cash related tasks on the core banking system.
69. Till to Till Transfer: shall refer to the transfer of cash from Customer
service officer-Makers (at front) to senior customer service officer-cash or
vice versa through the system.
70. Till to Vault Transfer: shall refer to the transfer of cash from the senior
customer service officer-cash to Vault through the system.
71. Union: shall mean a group composed of more than one primary cooperatives
societies that have similar objectives.
72. Vault to Till Transfer: shall refer to the transfer of cash from the Vault to
senior customer service officer-cash through the system.
73. Verification of signature: shall refer to the checking of the signature with
naked eye without sending the document/instrument to external forensic
department.
74. Women saving Account: shall refer to a type of saving account designed for
women.
75. Youth saving account: shall refer to a type of saving account designed for
those individuals aged between 18-24 years old.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
This procedure shall cover and govern operational activities of the CATS process,
including the duties and responsibilities of performers in branches as well as
districts and CATS-CPC. The procedure shall also be applicable to NR/NT and
foreign transfer sub process.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
Board of Directors
President
VP - CATS
Manager - CATS
Operations
Manager Bond
District Managers Director - CATS CPC
Reconciliation
Manager - ATS
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Plan, direct and coordinate the activities of the team within the approved
CATS procedure, guidelines and directives of the bank;
b) Ensure the proper implementation of the CATS procedure within the
process;
c) Assess the current and future skill and talent demanded by the process and
develop through training and knowledge sharing;
d) Oversee proper understanding and awareness is created on the procedure by
all performers of the CATS process;
e) Maintain efficient integration of CATS process with other core and support
processes;
f) Ensure that district managers, Director-CATS CPC and other managers under
the process owner are discharging their duties and responsibilities as
entrusted to them in this procedure;
g) Oversee appropriate risk identification, measurements and management is in
place in operational activities of the process;
h) Oversee the overall CATS operational matters and the service delivery of the
CATS process and take appropriate action if deemed necessary;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Plan, direct and coordinate the activities of the team within the approved
CATS procedure, guidelines and directives of the bank;
b) Ensure effective and efficient operation of CATS process is in place within the
branches under the districts domain;
c) Ensure whether branch managers are properly monitoring and leading their
respective staffs for better performance;
d) Support branches and district office staffs in implementing the CATS
procedure;
e) Ensure appropriate risk identification, measurements and management is in
place in operational activities of the branches and district;
f) Support the rectification of discrepancies and comments reported by internal
audit, Ethics and Anti-Corruption office, district compliance and monitoring
team and Branch controllers, and take the necessary remedial action;
g) Assess competency gap of performers and arrange the required trainings;
h) Ensure the operational activities of the branches are meant to satisfy the
customers without compromising the Banks interest;
i) Oversee the overall district operational matters and the service delivery of
the district and take appropriate action if deemed necessary;
j) Approve and concluded agreement for Cash pick up service and Casher
implant service with high value customers ;and
k) Keep the cash and ATM vault combination code of all branches under the
districts domain.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Plan, direct and coordinate the activities of the team within the approved
CATS procedure, guidelines and directives of the bank;
b) Oversee proper supply and collection of cash to and from branches;
c) Ensure appropriate risk identification, measurements and management is in
place in operations of the sub-process;
d) Maintain the asset quality of the bank through effective monitoring of
suspense account balances; and
e) Ensure that outstanding items are timely settled and branch accounts at CPC
are also timely reconciled; and
f) Oversee the overall d operational matters and the service delivery of CATS
CPC and take appropriate action if deemed necessary;
a) Plan, direct and coordinate the activities of the team within the approved
CATS procedure, guidelines and directives of the bank;
b) Assess the effectiveness of the coordination among branches, districts and
CATS CPC in performing their day to day operation , propose and execute the
necessary actions in consultation with Vice President CATS
c) Ensure procedural compliance in branches by collaborating with districts
compliance and monitoring team;
d) Collaborate with concerned parties to ensure that CATS process operational
risk is identified, assessed and managed;
e) Analyze the findings and rectification of discrepancies and comments
reported by internal audit, Ethics and Anti-Corruption office, district
compliance and monitoring team and propose the necessary remedial
action;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Plan, direct and coordinate the activities of the team within the approved
CATS procedure, guidelines and directives of the bank;
b) Assess the effectiveness of the coordination among branches under the
district domain in performing their day to day operation , propose and
execute the necessary actions in consultation with district manager ;
c) Support branches under the district domain in the implementation of
resource mobilization strategies of the bank ;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
h) Keep the cash and ATM vault reserves keys of all branches under the districts
domain
a) Plan, direct and coordinate the activities of the team within the approved
CATS procedure, guidelines and directives of the bank;
b) Ensure that internal control framework of the bank is properly implemented
in all operational activities of the branch;
c) Ensure appropriate risk identification, measurements and management is in
place in operational activities of the Branch;
d) Ensure proper understanding and implementation of the CATS Procedure by
performers within the branch and shall give the required assistance and on
the job training;
e) Assess the overall competency gap of performers at branch and propose
need based trainings that would fill the gap for the expected competency
level;
f) Ensure the rectification of discrepancies and comments reported by internal
audit, Ethics and Anti-Corruption office, district compliance and monitoring
team and Branch controllers, and take the necessary remedial action;
g) Ensure all performers are discharging their duties and responsibilities laid in
this procedure and take appropriate measure on performers who
contravenes the CATS procedure;
h) Perform all duties and responsibilities of the Manager Customer service in
the absence or in addition of job holder ; and
i) Ensure that daily operations and branch book of accounts are done in
accordance with this procedure as well as accounting procedure of the bank.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Plan, direct and coordinate the activities of the team within the approved
CATS procedure, guidelines and directives of the bank;
b) Ensure the supply and collection of foreign and local currency to/from
branches of CBE/NBE;
c) Keep dual control of cash vault key of main issue;
d) Ensure the handing and taking over of the physical cash between the Cash
custody and issue, E-Payment and city branches are taken place in
accordance with cash operation activities laid in this procedure;
e) Ensure the daily cash transactions are properly managed and take corrective
action on any cash discrepancies detected;
f) Ensure appropriate risk identification, measurements and management is in
place in operational activities of the team; and
g) Rectify audit findings reported by internal audit, Ethics and Anti-Corruption
office, and controllers, and take the necessary remedial action;
a) Plan, direct and coordinate the activities of the team within the approved
CATS procedure, guidelines and directives of the bank;
b) Ensure the timely processing of credit summaries;
c) Ensure the timely reconciliation of branch accounts;
d) Ensure list of closed current accounts due to mal operation are timely
updated on the system and manually dispatched to non-networked branches;
e) Ensure delinquent list of customers is timely dispatched to branches, Trade
Service Process and Credit Service process;
f) Ensure the timely and correct process of customer account balance
confirmation ;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
1.7.10 Manager-ATS
The ATS Manager shall:
a) Plan, direct and coordinate the activities of the team within the approved
CATS procedure, guidelines and directives of the bank;
b) Ensure all transactions are processed accurately and efficiently; and
reconciled and settled as per the standard;
c) Monitor the position of payment and settlement account and make sure that
the balance is not overdrawn; and
d) Ensure proper prioritization of payment when the balance in the Payment
and Settlement is account not enough to cover all outstanding payment
e) Rectify audit findings reported by internal audit, Ethics and Anti-Corruption
office, and controllers, and take the necessary remedial action;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
e) Ensure the cash counting and sorting takes place in accordance with this
procedure;
f) Follow up the settlements of claims and administer the cash discrepancies
detected during cash operation; and
g) Daily monitor the cash issue account movement and reconciliation status at
branches
a) Plan, direct and coordinate the activities of the team within the approved
CATS procedure, guidelines and directives of the bank;
b) Ensure that the required resources are fulfilled for daily business operation;
c) Coordinate the activities of customer service officers and/or Senior customer
service officers within the branch;
c) Facilitate the provision of efficient and high quality service to customers as
per the standard;
d) Ensure all branch transactions are processed accurately and efficiently and
no unauthorized transactions are left in the system for specific business day;
e) Facilitate on the job training experience sharing and guidance for the proper
understanding and implementation of this procedure; and
f) Keep dual control of cash and vault key.
a) Plan, direct and coordinate the activities of the team within the approved
CATS procedure, guidelines and directives of the bank;
b) Keep dual control of cash and vault key.
c) Handover and takeover the physical cash notes to and from branches, NBE
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
and other banks as per the cash operation activities laid in this procedure;
d) Ensure the cash operation like counting and sorting takes place in
accordance with this procedure;
e) Assign officers and coordinate the required resource for efficient cash
collection and issue; and
f) Facilitate on the job training experience sharing and guidance for the proper
understanding and implementation of this procedure
a) Plan, direct and coordinate the activities of the team within the approved
CATS procedure, guidelines and directives of the bank;
b) Manage the timely processing of credit summaries;
c) Coordinate and monitor activities for timely and accurate branch account
reconciliation;
d) Update list of closed accounts due to mal operation on the system and
manually dispatch to non-networked branches;
e) Handle the delinquent list of customers and timely dispatch to branches,
Trade Service and Credit process;
f) Handle timely customer account balance confirmation;
g) Handle the reported lost negotiable instruments are registered for future
reference;
h) Ensure the timely dispatching of new account opening instruction and
account signature specimen to branches;
i) Manage the accurate and timely account maintenance of ECX, Government
and other corporate customers; and communicate the base branch for
further processing (if any); and
j) Facilitate on the job training, experience sharing and guidance for the proper
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Plan, direct and coordinate the activities of the team within the approved
CATS procedure, guidelines and directives of the bank;
b) Coordinate the daily activities for accurate and timely processing of all
transaction of ATS team;
c) Monitor the position of payment and settlement account;
d) Develop priority list for payment when the balance is not enough to cover all
the outstanding payments;
e) Make timely and proper authorization as per NBE system rule and the
developed priority payment list; and
f) Facilitate on the job training experience sharing and guidance for the proper
understanding and implementation of this procedure.
All other performers under the CATS process shall discharge their duties and
responsibilities as per this Procedure.
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2. CUSTOMER CLASSIFICATION
The bank shall classify its customers based on the following two dimensions;
i. Retail /consumer/customers -
ii. Business customer
iii. Premium customers
2.2.1 Private
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
2.2.2 Government
The Government category shall have the following sub classification;
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2.2.4 Associations
The Associations category shall have the following sub classification;
I. Cooperative societies
a. Shall includeAgricultural cooperative societies, Housing cooperative
societies, industrial and artisans producers cooperative societies,
consumers cooperative, saving and credit cooperative societies,
fishery cooperative societies, mining cooperative societies
b. Shall also include various establishment of cooperatives i.e. unions
and league
II. Charities, societies and Associations
a. Shall include all local and foreign based charities ;
b. Other associations shall include professional associations and clubs
sectorial associations, labor unions, trade unions, women and youth
associations ,traditional Equb and Edirs, and all religious
organizations and political parties .
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CATS process shall offer the following foreign deposit products in selected
branches;
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I. Ordinary Savings
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c) Parents can save for their young children's future tuition expenses right
from the birth of their children;
d) It provides higher interest rate than ordinary saving account as indicated
in the banks term and tariff;
e) It may grant Scholarship fund for account holders who are eligible to take
part in a special scholarship program. Winners can also use the
scholarship fund as Seed money for Initial capital to start a small-scale
business instead of pursuing higher education; and
f) Withdrawal from the Education Savings Account is allowed anytime.
However, in order to be eligible for the scholarship or seed money award
for a particular year, the customer shall deposit the minimum amount set
by her/his preference for 12 months of the calendar year and no
withdrawal in this period.
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b) Staffs are not allowed to process transaction of their own in the system
except in payment channels such as internet, mobile and card banking.
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i. This account may take the form of saving deposit, that can be used for
local payments only;
ii. Foreign currency is the only source of fund for the account ;
iii. It cannot be opened by power of attorney. However, individuals with
power of attorney can operate the account;
iv. Interest rate on such accounts shall be double of the minimum saving
deposit rate set by the National Bank of Ethiopia, currently it is 10%;
and
v. Money can neither be transferred from this account abroad nor from
the local currency to any foreign currency
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The following are eligible to maintain local ordinary savings account, Demand
Deposit Account or Fixed-Time Deposit
a) Individual women;
b) Various associations owned by women with more than 50% share
c) Businesses entities fully owned by women;
d) Minor women (through parents or tutors);
e) Incapacitated women (through legal guardians);
f) Women staffs of the CBE.
a) All Individuals whose age is greater than or equal to 18 and less than or
equal to 24 years old;
b) Individual trade operators (sole proprietorship);
c) Interdicted persons (through legal guardians)
d) Staffs of the CBE
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a) Worda/Kebele ID cards;
b) Employment and pension ID cards;
c) School, college and university ID cards;
d) Drivers/operators licenses;
e) Tax identification ID card;
f) Passports;
g) Work or residence permits; and
h) Foreign-nationals-of-Ethiopian-origin ID card, together with a valid
passport.
i) Ethiopian Community ID.
II. Acceptable ID cards shall at least consist the following information ;
a) The bearer full name i.e. in case of Ethiopia Citizen Persons name,
Fathers and Grandfathers name.
b) Persons Photo
c) ID number
d) Issue date
e) Issuer name and issuers stamp
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
1. Individuals
a) One valid and renewed ID card; and
b) Tax Identification Number (TIN) for demand deposit account;
c) Two recent passport-size photographs for a savings account and one for a
demand-deposit account (if there is no digital camera in the branch)
d) On the other hand, in order to open Teen-Youth Saving Account the
following documents are acceptable as Identification cards:
1) Student ID Cards;
2) Birth Certificates/Birth Notifications/Baptism Cards;
3) Letter of confirmation from the appropriate authority.
I. Partnership
c) The minutes of the meeting of the Board of Directors held to discuss the
opening and operation of the account;
d) A letter of request to open and operate the account, which is signed by the
Chairperson of the Board and bears the companys seal; however, the general
manager shall sign on the request letter, if it is delegated by the board.
e) A valid and renewed ID card of the person authorized to operate the account;
and
f) A tax identification number (TIN).
account.
a) A public enterprise shall present the Negarit Gazetta that has announced
its establishment;
b)The letter of appointment by the Board of Directors of the General
Manager;
c) A letter of request from the General Manager to open and operate the
account
d)Tax Identification Number (TIN) for demand deposit account; and
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
e) Valid and renewed ID cards and digital photo of the authorized signatories.
9. Cooperatives
a) A certificate of registration issued by the appropriate authority. If the
cooperative is in the process of formation, however, a letter of authority
from the organizing body shall be presented.
b) The approved and registered rules and regulations of the cooperative.
The rules and regulations will have to; nonetheless, bear the official
stamps of the registering body and of the cooperative on all their pages.
c) Minutes of the most recently held meeting of the General Assembly,
which clearly shows the members pertinent resolution. If the cooperative
is in the process of formation, nevertheless, a letter of intent signed by all
its members will suffice.
d) A letter of request by the Chairperson to open and operate a current
account.
e) A valid and renewed ID card and digital photo of the person authorized to
operate the account.
f) Tax Identification Number (TIN) for demand deposit account;
signatories; and
g) Tax Identification Number (TIN) for demand deposit account.
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a) A church thus named will have to obtain a letter of authority from the
President of the Ethiopian Evangelical Church Mekane Yesusthat is, its
central officeto open and operate a bank account; and
b) Tax Identification Number (TIN) for demand deposit account;
c) Valid and renewed ID cards of the authorized signatories.
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a) The document containing the courts ruling with regard to the companys
bankruptcy;
b) The courts decision pertaining to the liquidation of the bankrupt
company;
c) An appointment of the liquidator by the court and the legal power given
to her or him for the purpose; Tax Identification Number (TIN) for
demand deposit account; and
d) The ID cards of the authorized persons
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15. Account for firms under the process of registration for Investment
or Trade license
a) A letter of authority from the licensing body will have to be presented.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
separate account opened for this purpose in the name of the organization and
c) A valid and renewed Id card of the person authorized to operate the account;
and
d) Tax Identification Number (TIN) for demand deposit account;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
I. Embassies
a) A letter of application that states the manner of operation, signed by the head
of the delegation; and
b) Diplomatic ID cards or passports of the signatories of the account.
II. Diplomats
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
V. International Charities
VIII. Exporters
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
c) A letter of application;
d) A valid and renewed ID card from the employing organization, a
drivers/operators license, a passport or a trade license;
e) Documentary evidence of legality and incorporation as per their formation,
for sole proprietorship all the documents stated under 2(a-d),for Private
limited company as stated under 3(a-e) ,for partnership as stated 4-I (a-e)
and for share company as stated 4 II(a-f) and
f) Evidence that the applicant is a regular recipient of foreign exchange.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
5. OPENING OF AN ACCOUNT
5.1 Customer creation
The Customer Services Officer/Maker
a) Makes sure that the pertinent information is incorporated into the system
by looking at the documents presented by the customer.
b) Ascertains the mnemonic is given as per the standard format;
c) Authorizes the customer record.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
The duties and responsibilities of each performer of the Bank involved in the
account-opening procedure are the following:-
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
g) Checks that the required documents are properly filled out and signed by
the applicant. If the customer uses thumb print, however, she or he shall
attest the thumbprint, affixing thereto a rubber stamp that reads Signed
before me.
h) Takes the customer thumb print in the presence of two witness one from
the bank officers and the other from the customer side, if the customer is
blind; If the customer is unable to present a witness from his side the
Customer Service Manager/Branch Manager shall sign as a witness and
the Customer Service officer affixing thereto a rubber stamp that reads
Signed before me.
i) Takes the customers finger print through the Bio-metrics device.
j) Makes the customer fill out the first cheque-requisition form in case
demand deposit account ;
k) Takes customer picture by using the digital camera configured with the
system and attach to the account details;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
l) Opens the new account in the system by using the customer ID created in
the branch or other CBE branches. Writes the system generated account
number on the deposit slip, on the application form and on the cheque-
requisition slip.
m) Writes her/his name and signs on the application form on the space
provided thereofthat is, where it says Name and signature of the
Makerand forwards all the documents submitted to her or him to the
Customer Services Officer/Checker for checking and co-authorization.
n) Receives the original documents from the Customer Services
Officer/Checker, and collects the cash or cheque to be deposited, counts it
physically and then compares the amount with the denominations
written on the deposit voucher and posts the transaction.
o) Subscribes mobile alert privilege to the customer by checking the validity
of the telephone number filled by the customer.
p) Delivers original documents (ID card, trade license and other relevant
received documents), the deal slip, passbook (for saving), the gift package
and the welcome note to the customer. The passbook shall be delivered to
the customer upon letting him/her sign on the passbook register book. A
separate passbook register book shall be used to record account opening
made while providing van based banking or off-branch banking services.
q) Scans the customers signature and relevant particulars and link with the
account.
r) Passes the voucher to the Branch Controller.
s) Balances her/his cash on a half day and end of the cash hour and hands it
over to the Senior Customer Services Officer-Cash.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
c) Receives the response from the document issuing organ or from KYC
Analyst; Place posting restriction and inform the pertinent authorities if
the document is counterfeited.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
b) Checks all account opened are not given multiple customer ID if the
customer do have an account at other branch(s)
c) Checks daily account opening report and all the account opening
documents; authenticate account opening documents like ID card, power
of agency, trade license, memorandum of associations from the
concerned organ for documents issued within or nearby cities.
d) Requests in writing other branches to authenticate the genuineness of
documents issued in other cities on behalf of the base branch by sending
the required documents,
e) Follows-up accounts opened with zero balance is credited with the
minimum initial deposit amount within a month and inform the branch
manager for closure ;
f) Receives the response from the document issuing organ; and inform the
Manager or the CSM if the documents found to be counterfeited; and
g) Submits the authenticated documents to senior branch controller/branch
controller for filing.
a) Forwards the customer cheque request to the CATS - CPC for cheque
personalization; and
b) Ensures that cost of cheque books are collected from the customer
account.
a) Deals with the customer to set the amount of money to be deposited, the
period of fixed-time/term and the interest thereon that would accrue to
her or him;
b) Requests the customer to fill out the application and contract(Refer form
CBECATS004) designed for the purpose;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
b) Forwards the application form registers a copy thereof and debit advice
to Customer Service Manager.
a) Checks the name, the amount of fixed deposit, the maturity date and the
signature on the contract against the system.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Collects from the customer service manager all the documents submitted
for the opening an account and makes sure that the account is opened as
per the Banks pertinent policy and procedure;
b) Makes sure that the name of the newly opened account holder is not on
the mal-operation list for all current accounts opened;
c) Signs on the documents to ascertain the accuracy and completeness of the
newly opened accounts;
d) Makes sure that all opening document received agreed with the daily
opened account list on the system.
e) Copies and forwards all the relevant documents for saving accounts
opened by corporate customers, all demand deposit account and
suspicious accounts to Customer Service Manager for authentication and
make follow-up the authentication within fifteen days.
f) Opens a new mandate file in the name of the account holder and keeps all
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
whole balance to the customer new account in case the case of loss of
passbook;
f) Effects payment as per the payment procedure if the customer wishes to
paid cash; and
g) Cancels the passbook, if any, and forwards it to the Branch Controller.
a) Makes sure that there are no wrong debit/credit entries in the account, as
well as, no credit/debit entries in transit;
b) Checks the entry that brings about the closure of the account with in
her/his limit and authorizes the transaction; and
c) Makes sure that the passbook is collected from the customer;
a) Receives the unused cheque or the passbook and ticket and cheques the
presentation and accuracy thereof;
b) Places the documents (account-opening application form, unused
cheques/passbook) in the closed account file in order;
c) Registers the unused cheques and destroys them in the presence of
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
Customer Service Manager and the Customer Service officer Maker within
fifteen days of the account closure; and
d) Files the minute held for the destroying the unused cheques signed by all
presented in the specified venue and time to destroy the unused cheques.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
6. COLLECTION
The duties and responsibilities of each staff of the Bank involved in the collection
of cash consist of the following:
a) Receives the cash, the deposit slip signed by the depositor and the
passbook (if any) from the depositor.
b) Makes sure that the amount of money given in both words and figures is
the same as that given on the deposit voucher;
c) Counts the cash by comparing it with the denominations written on the
deposit slip, and cheques the name and account number on the deposit
slip against the system.
d) Identifies and inputs the detail information of the depositor on system, if
the amount is greater than the amount set by Ethiopian Financial
Intelligence Center; currently it is 300,000.00 birr.
e) Credits the customers account by specifying the depositor full name in
the narrative box, if the deposit to be made is within her/his
discretionary limit otherwise, dual authorization shall be requested from
the concerned Customer Service Officer Checker/Customer Service
Manager; and updates the passbook balance, if any;
f) Forwards the referral to Customer Service Manager, if the deposit is to be
made to the inactive account;
g) Prints the deal slip and hands over to the customer the deal slip as a
receipt and keeps the deposit voucher for further balancing and
recording; If the depositor require additional deal slip for whatever
reason , the additional deal slip or deposit advice should be marked as
duplicate or Copy .
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
h) Balances her/his cash against the pertinent data on the system at the
half-day and the day-end closing,
i) Hands over the deposit voucher to the Branch Controller, as soon as the
transaction is completed , and
j) Hands over the cash beyond her/his holding limit during the days
operation, and the whole cash except the petty-cash (each note cash
denominations less than a bundle) at the half-day and the day-end closing
to the Senior Customer Service Officer- Cash.
a) Checks the completeness of the deposit slip, name and account number
against the system and authorizes the transaction with in her/his
authorization limit.
The Customer Service Manager
a) Checks the completeness of the deposit slip, name and account number
against the system and authorizes the transaction, if the deposit is to be
made to inactive account and/or transaction amount is above the
authorization limit of the Customer Service Officer-Checker.
The Branch Controller
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
In case of the payees presence, the normal cheque deposit procedure shall be
followed.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Follows-up the daily balance of LMTS payable account against the system
tracer;
b) Forwards long outstanding items for write back approval (refer to the
banks suspense management procedure):and
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
Manager;
b) Makes sure that the particulars on the Bankers cheque /CPO/is the same
as that of the customers application;
c) Prints the Bankers cheque /CPO/after confirming that the cash has been
received or the appropriate account has been debited;
d) Signs on the Bankers cheque /CPO/and forwards same to the Customer
Services Officer/Maker; and
e) Makes sure that the serial numbers of the Bankers cheque /CPO/used on
that particular day follow the serial numbers of the remaining unused
Bankers cheque /CPO/form.
b) Checks the serial number of the Bankers cheque /CPO/ used on that
particular day and follow the serial numbers of the remaining unused
demand draft/ Bankers cheque /CPO/form.
e) Authenticates the signature, and posts both the debit and credit entries, if
the limit is within her/his discretionary limit; otherwise forwards the
cheque /money transfer application/letter of payment instruction for
dual authorization; and
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Receives the letter of application for foreign exchange from the Customer
service officer-Maker and compares the contents of the document against
the checklist;
b) Checks the letter of application against the prepared document, the
conversion of the counter value of the requested foreign currency,
including related charges, for amounts in her/his discretionary limit;
c) Checks the filled-out MT-103 form, then sign on it for transfers to be
made via SWIFT,
d) Forwards the permit to the Senior Customers Officer-Accounts, together
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Accepts the signed deal slip authorizes the transaction with in her/his
authorization limit.
a) Accepts the signed deal slip money transfer application / the Customer
service office-Maker, authorizes the transaction with in her/his
authorization limit; and
b) Makes sure that the foreign currency notes are timely lodged to the issue
branches/center for proper utilization of the resource at the bank level.
The Senior Customer Services Officer-cash
a) Checks and balances the days cash transaction against the system; and
b) Checks and does follow-up on the local-currency and foreign-currency-
cash-holding positions of the branch.
Foreign currency in the form of cash or travelers cheques shall be issued in line
with the pertinent directive of the NBE.
The Customer Services Officer/Maker
b) Enters the data, and collects the local currency equivalent in cash or
debits it from the customers account;
a) Receives and examines the travel document and the application form and
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
limit.
a) Collects the cheque and Bankers cheque /CPO/ from the depositor,
together with the filled-in deposit slip;
b) Checks the completeness of the cheque and the Bankers cheque;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
c) Makes sure that the particulars filled in the deposit slip are identical with
those on the check and the Bankers cheque /CPO/ received for deposit,
that is, the name and account number of the account holder or
beneficiary/payee thereof, the checks/Bankers cheque /CPO/ number
and the amount of money involved have been written on it and that it has
been signed by the depositor;
d) Affixes a crossing stamp to the face of the cheque and the Bankers
cheque /CPO/ , the stamp of the accepted for deposit/pending clearance
on the back of the instrument and on both the original and the receipt of
the deposit slip and then puts her or his initials on all the documents;
f) Forwards the cheque and the Bankers cheque /CPO/ and the deposit slip
to the Customer Services Officer/Maker (at the back) for the EATS
process.
a) Accepts the cheques and Bankers cheques from the Customer Services
Officer/Maker (at the front), together with the deposit slip, and ascertains
that the proper formalities have been fulfilled;
b) Sorts the cheques and Bankers cheques by bank;
c) Takes the run-up of the cheques and Bankers cheques and cross-checks it
against the total run-up of the deposit slips;
d) Scans the checks and Bankers cheques and captures its images in the
scanner interface system or the Cheque Truncation system.
e) Fills all the required data in the fields; like the drawer Bank Identification
Code (BIC), name of branch, the drawee account number, account name,
Cheque number and amount and then the payee account number, account
name etc.
f) Forwards the scanned payment instruments to customer service
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Makes sure that the Cheque and Bankers cheque /CPO/ is scanned and
the data entered are correct;
b) Exports the image from the scanner interface System/cheque truncation
system to Core banking system of the bank;
c) Authorize the Cheques/Bankers cheque /CPO/ to be sent for clearance
with her/his limit;
d) Produces a report from the system for those Cheques/Bankers cheques
that are ready to be sent for clearance;
e) Check the total of the run-up taken by the customer service officer-Maker
(at the back) of the Cheques/Bankers cheque /CPO/ and compares with
the report;
f) Dispatches the cheques to ATS team at CATS- CPC for delivery to the
representative of each drawee bank until the physical movement of the
cheque stopped by NBE (until full truncation is implemented).
g) Receives a returned Cheque/Bankers cheque /CPO/ from ATS team and
register on returned dispatch book;
h) Affixes cleared stamp on the cheque deposit slips for cheques accepted by
other banks and forwards to the branch controller;
i) For returned Cheque/Bankers cheque /CPO/ call the customer and
dispatch it after the customer signs on the register.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Receives the cheque deposit slip from the Customer Service officer
maker and cheque against the transaction; and
b) Keeps the cheque deposit slip and the list/report of submitted cheques to
ATS until credited to customer account or returned cheques are received;
c) keeps the cheque and cheque deposit slip until credited to customer
account or rejected by the system in the case of cheque truncation
system,
d) Balances the outstanding customer cheque deposit slips with the internal
account opened for the purpose on daily basis;
e) Submits the cheque deposit slip which are credited to customer account
to branch controller and returned cheques to back office maker to be
subsequently delivered to the customer;
f) Submits the cheque and cheque deposit slip which are credited to
customer account to branch controller and rejected cheques to back office
maker to be subsequently delivered to the customer in the case of cheque
truncation system,
a) Checks the exported image and the authorized transactions for clearing
on the system;
b) Receives the cheque deposit slip from the Senior Customer Service
officer Accounts and check against the transaction for agreement; and
c) Receives the cheque and cheque deposit slip from the Senior Customer
Service officer Accounts and check against the transaction for agreement
in the case of cheque truncation system;
d) Files the documents in her or his custody.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Appears, after forty eight hours, at the clearing house of NBE to collect
any returned Cheques/Bankers cheque;
b) Delivers or accept the Cheques/Bankers cheque /CPO/ from the
representative of each bank;
d) Affixes a crossing stamp to the face of the cheque and the Bankers
cheque /CPO/, the stamp of the accepted for deposit/pending clearance
on the back of the instrument and on both the original and the receipt of
the deposit slip and then puts her or his initials on all the documents;
e) Hands over the receipt/advice to the depositor after putting thereon
her/his initials; and
f) Forwards the cheque and the Bankers cheque /CPO/and the deposit slip
to the Customer Services Officer/Maker (at the back) for the EATS
process.
a) Prepares the summary sheet in two copies for each bank, signs on them
and forwards them to the Customer Services Officer-checker at the back
for co-signing; and
b) Sends one copy of the summary sheet to ATS team at CATS-CPC together
with the cheques/Bankers cheques
a) Makes sure that the Cheques/Bankers cheques are in order and that the
appropriate clearance tickets have been prepared, co-signs on the
summary ticket and passes it on to the Customer Service officer -Maker
(at the back office);
b) Keeps one copy of the summary sheet, together with the deposit slip, until
the customer account automatically credited or the cheque is returned for
follow up;
c) Receives a returned cheques from the ATS and registers on returned
dispatch book;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
d) Affixes cleared stamp on the cheque deposit slips for cheques accepted by
other banks and forwards to the branch controller; and
e) Calls the customer and dispatch it after the customer signs on the
register; for returned Cheque/Bankers cheque
The Senior Customer Services Officer Accounts (at branch)
a) Receives the cheque deposit slip from the Customer Service officer
maker;
b) Keeps the cheque deposit slip and the list/report of submitted cheques to
ATS until credited to customer account or returned cheques are received;
c) Balances the outstanding customer cheque deposit slips with
memorandum account on daily basis; and
d) Submits the cheque deposit slip which are credited to customer account
to branch controller and returned cheques to back office maker to be
subsequently delivered to the customer;
a) Receives the cleared cheque deposit slips from the Customer Services
Officer/Checker and checks for the correctness of the transaction on the
system; and
b) Files the documents in her or his custody;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
d) Fills all the required data in the fields; like the drawer Bank Identification
Code (BIC), name of branch, the drawee account number, account name,
Cheque number and amount and then the payee account number, account
name etc.;
e) Exports the image from the Scanner Interface System/Cheque Truncation
System to the CORE banking system;
f) Sorts each cheque together with claim ticket by the concerned bank;
g) Posts the value of each cheque by bank and balance the total value of the
postings against the total of the claim ticket and ATS report;
h) Prepare Form A (list of total cheques value by CBE branches and NR
NT account and Foreign Money Transfer per other bank) in two copies
and generate Form B (list of total number of cheques and amount for
each other bank);
i) Takes the run-up of the debit and credit of the claim ticket;
j) Post the total value of the cheques to be dispatched to the clearing house
to payable account;
k) Dispatches the cheques together with Form A and Form B to the
cheque clearance office at the NBE; and
l) Delivers the cheques to the representative of each drawee bank until
movement of physical cheque stopped by NBE.
a) Checks that the data entered are correct and approve the cheque to be
sent for clearance. If the data are not correctly filled out return to repair
status for modification;
b) Approves after the necessary modification made by the customers
account and operation officer- Maker;
c) Makes sure that the Cheque and Bankers cheque /CPO/is scanned and
the data entered are correct; and
d) Authorize the Cheques/Bankers cheque /CPO/to be sent for clearance
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Produces a report from the system for those cheques that are ready to be
sent for clearance;
b) Forwards the report to Customer Account And Operation Officer to be
dispatched until the cheque truncation system begins;
c) Represent the bank at the clearance house and collect any returned
cheques;
d) Forwards the returned Cheque/Bankers cheque /CPO/to customer
account and operation officer for the dispatch to the respective branch;
e) Forwards all accepted cheques to the respective CBE Branch in order to
be filed on the date of posting with their daily Ticket until the cheque
truncation system begins.
Controller-at ATS
a) Checks the exported image and the authorized transactions for clearing
on the system;
b) Checks the correctness each approved cheques transaction whether it is
credited to the correct account;
c) Checks the high value transaction (Real Time Gross Settlement) and all
other outgoing instruction
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
Electronic Fund transfers (EFTs) or cheque cleared under special clearance with
value greater than Birr 200,000.00. In this case, the following procedure shall be
adhered.
II. Fund transfer request form other bank customer account to CBE
customer account
a) Checks the name and account number on MT103 message with that of the
system if it agrees, authorize the MT103, or take appropriate action as the
case may be. The MT 103 message shall be used as a source document to
authorize the transaction and no additional document is required;
b) Amends the transaction if the discrepancy is minor and the branch has
prior knowledge of the incoming transfer.
III. Collection of other bank cheque through Special clearance with value
greater than birr 200,000.00
the deposit slip and then puts her or his initials on all the documents;
e) Hands over the receipt/advice to the depositor after putting thereon
her/his initials; and
f) Forwards the cheque and the Bankers cheque /CPO/and the deposit slip
to the Customer Services Officer/Maker (at the back) for further
processing.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Receives the cleared cheque deposit slips and acknowledgment from the
Customer Services Officer/back office Maker and checks for the
correctness of the transaction on the system; and
b) Files the documents in her or his custody;
h) Registers the detailsthat is, the date on which the cheque was received,
the name of the beneficiary/payee, the cheque number, the name of the
bank on which it is to be drawn, the type of the currency and the amount
of the check in both currencies (foreign and local), the date on which the
cheque/travelers cheque was settled and incorporated into the system;
i) Credits the amount of money on the cheque to the customers account,
pays cash if it is within her/his payment-authorization limit, or sends the
referral to the Customer Services Officer-checker/Customer Service
Manager and makes the necessary entries to reflect the transaction and
gives the copy of the deposit slip to the customer; and
j) Forwards the chequetogether with a covering letter and the exchange
control copy to the Senior Customer Services Officer-accounts for further
checking and dispatching thereof to the Foreign Transfer NRNT.
a) Receives the cheque with the deposit slip, authenticates the cheque,
registers it and assigns to it a reference number, retains a digital
photocopy thereof and co-signs the instrument and returns it to the
Maker for processing;
b) Makes sure that the cheque has a crossing stamp, perforated, and then
retains photocopies of all the cheques;
c) Dispatches the cheque to the Foreign Transfer NRNT , so that it will send
it to the concerned correspondent bank for collection;
d) Follows-up on the settlement of the outward bill purchased/the outward
bill collections;
i. If the items sent for collection are not settled within 20 days from the
date of dispatch, the first tracer should be sent by using a copy of the
form, or of SWIFT. Thereafter, tracers should be followed up every 20
days. Before sending any tracer to the Accounts and reconciliation
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
e) Upon receipt of the settlement advice from any one of our correspondent
banks, settles the OBP on the system.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Accepts the instrument with a valid ID card and checks the particulars
written on the bills;
b) Makes the customer fill out the deposit voucher, puts her or his initials on
the voucher marking it Accepted for collection and affixing thereto a
Customer Service Officer stamp;
c) Makes the customer endorse the cheque by having her or him affix
thereto her/his signature;
d) Passes the cheque on to the Customer Service Officer Maker at the back
office, together with the deposit voucher, for the preparation of the OBC
ticket-foreign and for affixing thereto the endorsing signature and the
crossing stamp, etc.; and
e) Signs on the OBC ticket and forwards it to the Senior Customer Services
Officer for co-signing.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
7. PAYMENT
The duties and responsibilities of each staff of the Bank involved in the payment
process are listed as follows:
Branch Controller
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Produces a report from the system for cheques to be received from other
banks;
b) Appears at the clearing house of the NBE with a list of cheques that CBE
representative should receive from other banks;
c) Collects the cheques drawn on CBE branches and prepared by each bank,
together with Form A;
d) Balances the total value of the received cheques against the total balance
shown in form A and Outgoing ATS report;
e) Submits the collected cheques from other banks to Customer account and
Operation team for further processing; and
f) Delivers all the returned cheques to other banks at the clearing house.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Receives CBE cheques collected from other banks from Senior Customer
account and Operation officer;
b) Sorts the cheques in the drawer branches and prepared summary report
in two copies for each branch and sign on it;
c) Dispatches the summary report with the cheques and retain the other
copy as a tracer;
d) Receives the returned cheques from Senior customer account and
Operation officer after rejection is done on the system , prepares Form
A for each bank for those cheques returned by the branches;
e) Submits all the returned cheques of other banks along with relevant
documents to Senior Customer Account and Operation Officer
c) Verifies the signature and authorize the transaction on the EATS; and
d) Rejects the transaction on the system and returns the rejected cheques
by specifying the valid reason before the standard time is elapsed to ATS
(the physical cheque should be returned in the absence of the Cheque
Truncation System);
a) Approves the transaction on the system by verifying the signature and the
genuineness and completeness of the cheque;
The branch controller
a) Checks the transaction for completeness and accuracy;
Fund transfer request from CBE to other banks shall be handled when the
conditions hereunder are fulfilled
a) Receives instruction from the customer to transfer the fund from her/his
account maintained with the branch to other bank branch;
b) Checks all the particulars in the letter of application or the format
designed for the purpose (Refer form CBECATS108);
c) Verifies the customer signature and forward to Customer Service officer
back maker.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
Branch controller
II. Effect payment presented through Special clearance with value greater
than birr 200,000.00
a) Receives the CBE cheque with MT-103 attachment designed for Special
cheque clearance;
b) Verifies the other banks signature signed and authenticate the cheque
presented and post the cheque in Input MT103 Outward Remittances -
Cheques menu;
c) Checks the genuineness and completeness of the chequethat is, makes
sure that the date on which it was written and the amount of money in
both words and figures appear on it and that the cheque has been signed
by the account holder and endorsed;
d) Forwards the document and the cheque after writing posted on the face
of the cheque and sing on it, Sign on attachment by writing the time
received;
e) Forwards the document and the cheque to the checker for co-signing
and/or authorization
a) Receives the Document and the cheque after posted by the customer
service officer-back maker, cheque all the particulars inserted correctly
on the transaction and Authorize the transaction on the EATS Menu
amount in her/his authorization limit.
b) Gives the originating bank copy to the other bank messenger.
c) Forward the remaining document and the cheque to branch controller
Branch Controller
a) Receives the document and the cheque from Customer Service officer
back maker and cheque against the transaction on the system.
b) Keeps the document and the cheque under her/his custody.
a) Accepts the cheque and the ID card from the payee/the beneficiary;
b) Checks the genuineness and completeness of the chequethat is, makes
sure that the date on which it was written and the amount of money in
both words and figures appear on it and that the cheque has been signed
by the account holder and endorsed;
c) Identifies the customer on the back of the cheque;
d) Authenticates the signature on the cheque and debits the appropriate
customers account;
e) Identifies and inputs the payee information , on system, if the amount is
greater than the amount set by Ethiopian Financial Intelligence Center;
currently it is 15,000 US Dollar or its equivalent currencies.
f) Sends the referral to the Customer Services Officer-Checker/CSM for
cheque values above his / her payment-authorization limit and pays the
customer in cash after authorization;
g) Affixes the stamp of the Customer Services Officer and puts her or his
initials on the face of the cheque;
h) Cross-checks the balance on the system against the cash on hand; and
i) Hands over the cheque to the Branch Controller as soon as the
transaction is completed.
a) Checks the endorsement, the date that the cheque was drawn on, the
amount of money in both words and figures, the signature of the person
who drawn the check, the account number and the name of the
beneficiary/payee thereof; if the amount is within the authorization limit,
b) Verifies the data related with Anti-Money Laundry is properly inputted in
the system before authorization;
c) Checks the correctness of the exchange-rate conversion and responds to
the referral request through the system.
a) Collects the cheque from the Customer Services Officer-Maker, and checks
the transaction on the system;
b) Checks the completeness of the cheque and that it has been paid based on
the pertinent discretionary limit;
c) Checks that it bears the stamp of the Customer Services Officer and that
she or he has put her/his initials on the face of the cheque;
d) Makes sure that the cheques have been authenticated by the concerned
staff of the Bank and endorsed by the beneficiaries thereof, if the cheque
is meant to be paid in cash,
e) Makes sure that it has been posted to the right customers account;
f) Checks in the systemthat is, against the account numberchecks the
numbers and the amounts of money involved and the initials on the
checks;
g) Files all the daily tickets (payment instruments) in accordance with the
classification on the general ledger and keeps it in her/his custody.
a) Receives the passbook and withdrawal voucher from the customer and
checks that the withdrawal voucher (refer form CBECATS110) is properly
filled outthat is, the date on which it was withdrawn, the name of the
account holder, the amount of money in both words and figures, the
account number and the signature of the account holder appear on it;
b) Assists the customer to put his /her thumb print on the Bio-Metric device
for system verification; If the branch has the device
c) Receives withdrawal voucher together with his/her ID from the
customer and checks all particulars as stated above in a in case the
customer did not present his/her passbook and make the customer write
the word I have withdrawn without pass book on the back of the
voucher and make her/him sign on it, after the customer Service manager
approved the withdrawal by writing the word ok without passbook on
the face of the voucher;
d) Makes the transaction in the presence of two witnesses one of whom
should be the Customer Services Officer/Maker or the Customer Services
Officer/Checker who is not processing the payment, and the other should
be the customer service manager/Branch Manager.
e) Attests the thumb print by either hand writing Signed before me or
using the rubber stamp stating Same and puts her/his name and initials
next to the thump print if the specimen for the account is received by
thumb print;
scanned signature;
h) Verifies the data related with Anti-Money Laundry is properly inputted in
the system before authorization;
i)
j) Forwards the documents for referral to the concerned Customer Services
Officer-Checker/Customer Service Manager if the amount of money to be
paid is above her/his payment-authorization limit;
k) Posts the transaction and pays the specified amount of money on the
withdrawal voucher to the account holder by recording the
denominations into the system, depending on the customers preference
after the transaction authorized.
l) Affixes the stamp of the Customer Services Officer on the face of the
withdrawal voucher and initials on both the voucher and the passbook;
m) Delivers the passbook to the customer, together with the requested cash;
n) Passes the voucher to the Branch Controller, immediately after the
transaction has been completed ;
o) Balances her/his cash at half day and end of day closing against the
pertinent data on the system and surrenders it to the Senior Customer
Services Officer-cash.
a) Receives the filled out LMTS payment form (refer FORM CBECATS107)
and Beneficiarys ID from the customer;
b) Log in to the system using the Security Number and cross check the
beneficiaries name, Remitter name, Test question and answer, and
amount against the system data and the beneficiarys ID card;
c) Enters the customers address, the ID cards number, the name of the
issuing organization or office, the date on which it was issued and
generate the ticket from the system and makes the customer signs on it
(the ticket);
d) Cross sell deposit products to the beneficiary to retain the customer and
the whole and part of the transfer ;
e) Takes the customer thumb print in the presence of two witness one from
the bank officers and the other from the customer side, if the customer is
blind; If the customer is unable to present a witness from his side the
Customer Service Manager/Branch Manager shall sign as a witness and
the Customer Service Officer affixing thereto a rubber stamp that reads
Signed before me.
f) Effects payment to the beneficiary/payee after authorization; otherwise,
the transaction should be directed to the Customer Service officer
Checker or customer service Manager, based on her or his authorization
limit; f the amount to be paid is within her/his payment-authorization
limit,
a) Receive customer ID, LMTS payment application, Print out and makes
sure that the transaction is correct and authorize, co-signs on the cash-
payment ticket with in her/his authorization limit.
a) Receives the LMTS payment ticket from the Customer Service Officer-
Maker;
a) Receives the filled our customers application form (use the standard
format designed for specific MTO or use FORM CBECATS112) and
Beneficiarys ID from the customer;
b) Log into the MTOs application using the Security Number and cross
check the beneficiaries name, Remitter name, Test question and
answer(if any), and amount against the system data and the beneficiarys
ID card;
c) Enters the customers address, the ID cards number, the name of the
issuing organization or office, the date on which it was issued and
generate the ticket from the system and makes the customer signs on it
(the ticket);
d) Cross sell deposit products to the beneficiary to retain the customer and
the whole and part of the transfer ;
e) Takes the customer thumb print in the presence of two witness one from
the bank officers and the other from the customer side, if the customer is
blind; If the customer is unable to present a witness from his side the
Customer Service Manager/Branch Manager shall sign as a witness and
the Customer Service Officer affixing thereto a rubber stamp that reads
CATS Procedure | 110
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Receive customer ID, Foreign remittance application, Print out and makes
sure that the transaction is correct and authorize, co-signs on the cash-
payment ticket with in her/his authorization limit.
a) Receives the Foreign remittance application and print out from the
Customer Service Officer-Maker;
b) Ascertains all the particulars on the foreign remittance application and
print out are identical and check the customer sign on the foreign
remittance application and print out; and check the transaction on the
system.
c) File and Keeps the payment ticket under her/his custody.
a) Receives the Bankers cheque /CPO/ and the ID card from the customer
and makes sure that the Bankers cheque /CPO/ properly presented
that is, the date on which it was issued, the name of the originating
branch, the full name of the beneficiary/payee or to the purchaser (if the
a) Receives the Bankers cheque /CPO/ from the Customer Service Officer-
Maker;
b) Ascertains all the particulars on the Bankers cheque /CPO/against the
system, the proper endorsement of the Bankers cheque /CPO/and Check
the transaction is passed the correct Bankers cheque /CPO/Number.
c) Files and Keeps the payment ticket under her/his custody.
Bankers cheque /CPO/may be presented after the expiry date by the purchaser or
the beneficiary due to various reasons. Request for refund of the Bankers cheque
/CPO/kept in the hand of the purchaser shall be entertained. However, the
presenter shall additional letter of requesting stating valid reason for the delay.
During this time the following procedure shall be adhered by the originating branch
only:
a) Interviews the customer for the reasons of the delay of the Bankers
cheque /CPO/for more than six months and check the proper
presentation and genuineness of the Bankers cheque /CPO/for refund
and make her/him to sign on the back of the Bankers cheque;
b) Checks whether the Bankers cheque /CPO/is Outstanding or Not. If the
Bankers cheque /CPO/is outstanding, make the customer fill out the
undertaking letter and sign on it;
c) Forwards to Customer Service officer for the credit of her/his account or
for refund in cash.
d) Authorizes the payment transaction;
b) Informs in writing the issuing branch to stop the Bankers cheque, if the
request is lodged to the paying branch ;
c) the issuing branch in any case shall stops the instrument when receiving
the request either from the branch or the customer by waving stop
payment charge in the system; However the service charge shall be
collected separately per the term and tariff of the bank ;
d) Receives consent from the payee to safeguard its interest; and also
receive undertaking from the purchaser in case of any future
eventualities, if the applicant is the purchaser.
e) Receives undertaking to safeguard the interest of the Bank in case of any
future eventualities if the applicant is the payee,
f) Encloses any other additional supporting documents as and when
necessary;
g) Keeps the photocopy of the entire document at the branch and forwards
the letter of the request for refund and the original documents to the
pertinent approving organs, if it is beyond the branchs limit of approval;
h) Forwards the approved customers request to Customer Service officer
Maker for payment if a request is received by the branch for the refund of
expired but not lost instruments, the customer has to fill an undertaking
format prepared for this purpose.
i) Cosigns the payment ticket and approve the transaction on the system
j) Inform Customer Accounts and Operation Manager in writing the loss of
the Bankers cheque /CPO/for future reference.
c) Identifies the customer and let the customer sign on the back of the
ticket, if the customer is an individual and requested payment in cash
;sign and send the document for cosign and approval;
d) Sign ,Post the transaction and sends the document for approval and
cosigning
e) Pays the customer in cash or in case of corporate customer /organization
,the proceeds of the Bankers cheque /CPO/shall be credited to an
account ;
Branch Controller
purchaser,
f) Encloses any other additional supporting documents as and when
necessary;
g) Keeps the digital photocopy of the entire document at the branch and
forwards the letter of the request for refund and the original documents
to the pertinent approving organs, if it is beyond the branchs limit of
approval;
h) Forwards the approved customers request to Customer Service officer
Maker for payment if a request is received by the branch for the refund of
expired but not lost instruments, the customer has to fill an undertaking
format prepared for this purpose.
i) Cosigns the payment ticket and approve the transaction on the system
j) Inform Customer Accounts and Operation Manager in writing the loss of
the Bankers cheque /CPO/for future reference.
Branch Controller
a) Receives the letter of application from the Maker and checks the
transaction on the system and the pertinent directives to make sure that
it does not contravene any of their provisions; and
b) Ensures unutilized balance left over in the Retention account B
converted to birr and credited to local currency account after 28 days;
c) Files the document in her or his custody.
8. TRANSACTION-AUTHORIZATION LIMIT
Authorization Limit(AL)
Authorized Current
Incoming Collection
No Person Account/ Incoming Deposit
Savings Transfers
Foreign Bankers for LMTS
Account LMTS
Payments cheque
Up to Birr Up to
Customer Services Up to birr Up to Up to
1 40,000 Birr N/A
Officer/Maker 10,000 100,000 200,000
100,000
Customer Services
Officer/Maker, birr birr birr birr
birr 80,000 birr 10,000
3 together with the 200,000 20,000 200,000 400,000
And above And above
Customer Service And above And above And above And above
Manager
The customer may request branch services even when the branch becomes offline,
due to failure in connection. Thus, the branch may entertain the request of the
customer considering the availability of nearby and connected branch in the area by
examining the trustworthiness of the customer, the branch shall serve the
customers withdrawal request as per the following offline payment and collection
limit;
Authorized
No Authorized person
limit
1 Customers Account & Operation Officer/Maker/ Up to 30,000.00
For Lost But Not For Lost And For Expired But
Expired Expired Not Lost
Approving Organ Bankers cheque Bankers cheque Bankers cheque
/CPO/ /CPO/ /CPO
Branch Controller
b) Advices the staff, entitled for cash indemnity, to fill the account opening
form and Checks whether it is properly filled out and signed;
c) Takes the customers finger print through the Bio-metrics device.
d) Opens the account in the system by using the customer Id created in the
branch or other CBE branches and appropriate product code.
e) Writes the system generated account number on the application form.
f) Writes her/his name and signs on the application form on the space
provided thereofthat is, where it says Name and signature of the
Makerand forwards all the documents submitted to her or him to the
Customer Services Officer/Checker for checking and co-authorization.
a) Checks the account opening documents against the system and ensure the
account is appropriately opened, the product code and the account has a
posting restriction and inform the Senior Customer service officer-
Account the account number for payroll updating.
b) Receives a request of cash withdrawal from Customer Service Officer
Maker/Senior Customer Service Officer Cash when cash shortage is
evidenced by audit report;
c) Requests the staff to fill the withdrawal voucher by the shortage amount;
d) Approves the withdrawal from cash indemnity account by writing Ok for
withdrawal on the face of the voucher; and
e) Authorize the transaction on the system.
a) Inserts the account number into the payroll system to manage monthly
deduction amount to be credited to this account.
b) Follows-up the balance of cash indemnity account whenever the balance
is below minimum balance set by the bank, credit the whole cash
indemnity amount after tax until it reaches the minimum balance set by
the bank.
b) Any deletion on the Cheque s shall not be accepted and the Cheque has to
be changed.
c) There should be no discrepancy between the amount of money given in
words and that given in figures.
d) Remind the customer of the need for sticking to the calendar of the
language in which the Cheque is written.
e) A Cheque is valid for only six months beginning from the date of its
issuance.
The following are the types of endorsement that are applicable in the CBE:
a) Self: if the cheque is issued for self, the Maker should ascertain that the
Cheque has been endorsed by the drawer.
b) Cash or bearer: if a cheque is drawn to the bearer or cash, the Maker should
make sure that the cheque has been endorsed by the presenter.
c) Specified person: the beneficiary/payee of the cheque has to be identified
and told to endorse the cheque.
d) If the cheque is issued to the order of the specified person followed by the
word only, or if the word payee only is written on the top left corner of
the face of the Cheque, only the payee/beneficiary thus indicated is allowed
to cash the Cheque.
e) If the cheque is issued in the name of organization, corporation, a
cooperative, an association, or a government body, it will not be paid in cash,
but will be credited to the beneficiarys/payees account. To be endorsed, the
Cheque s must bear a seal of the beneficiary and signature of the depositor.
CATS Procedure | 130
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
Such Cheques bear two transverse lines across their faces. They can be paid
by crediting the amount of money on the Cheque to the account. Such
Cheques are transferable by endorsement only if they are to be credited to an
account.
A stop-payment order on the Cheque can be placed for various reasons as might be
system; and
d) Incorporate into the system the necessary particulars from the cancelled
stop-payment order form to cancel the stop-payment order placed
previously; then signs and passes the documents on to the senior
customer service officer-accounts for co-signing.
a) Receives the documents from the CSM and checks them to make sure that
they comply with the rules and regulations of the Bank and then files
them.
There are instances where a customer could make an honest error in her/his
bookkeeping. Such a customer could have Cheque(s) that is/are deposited in
her/his account and not cleared or returned. She or he could also have local or
foreign transfers, or an approved loan not credited to her/his account due to the
incompleteness of various internal operations, the pertinent procedures of the Bank,
etc. These instances could be considered to be acceptable excuses for the customer
for issuing insufficient fund Cheque s. In general, however, it is quite easy to
determine if a customer is knowingly issuing insufficient fund Cheque s.
2. record the incident for the second time in the Dishonored Cheque
register, restricted all debit (outgoing) transactions against this account
until all the cheques which have been dishonored & registered
hereinabove are fully paid or equivalent amount is blocked pending the
payment to the payee(s); and levy a fine of 3% of the amount appearing
on the cheque dishonored for the second time but not exceeding Birr
25,000 (twenty five thousand Birr)
2.1 If there is no sufficient fund in the account even to cover the charges,
nonetheless, leaves Birr.1.00 in the account balance, debits the
customers account with the remaining amount and does close follow-
up on the customers account to recover the unpaid charges.
3. Record the incident for the third time in the dishonored Cheque register,
close the account, levy a fine of 5% of the amount appearing on the
cheque dishonored for the third time but not exceeding Birr 50,000 (fifty
thousand Birr) and make every effort possible to collect all unused
cheque leaves & pads from the drawer and report same to CATS CPC to
close such persons demand deposit account in all CBE branches and
inform NBE.
4. Notwithstanding provisions under i(1) and i(2) debit charges like legal,
insurance, advertisement, such other non-cash transactions, accrue
interest against overdraft accounts against a blocked account; and the
bank may unblock the account and make the fund available to the drawer
;
ii. If the payee(s) fails to appear to receive a full payment after lapse of
six months of presenting the dishonored cheque.
5. Those account holder who fulfill their obligation shall be deleted from
the dishonored cheque register per the following table ;
a) Checks the completeness of the Cheque and the balance of the account in
the system;
b) Forwards the cheque to the customer service manager for further action,
if the Cheque is found to insufficient to cover the value or the cheque is
incomplete for various reasons like difference in signature, amount and
figure in addition to not having sufficient balance to cover the presented
Cheque value.
a) Checks all the possible credit entries that might have not been posted to
a) Receives the documents from the customer service manager and checks
them for compliance with this procedure and relevant directive of the
NBE and then files on the customer mandate file.
When a Cheque presented in other CBE branch from account holding branch, which
is located in another city, the following procedure shall be adhered. However, if the
account holding branch and the branch where the Cheque is presented for payment
is located within the same city, the insufficient Cheque return slip shall be issued by
the account holding branch.
Customer Service Managers at the Account Holding Branch and Paying
Branch
a) The branch that received the Cheque for payment shall scan and send
through the banks internal email or any other available ways to the
account holding branch;
b) When the account holding branch receives the message shall follow the
steps stated above for insufficient Cheque handling.
c) The account holding branch shall write a letter that confirms the balance
is insufficient to cover the Cheque to the branch (that received the
Cheque for payment) signed by the CSM/Branch Manager, by putting the
branch round stamp and scan and then replies by branch outlook.
d) The branch that receives the Cheque for payment upon receiving the
confirmation from the account holding branch will give to the payee the
Cheque returned slip (by stating insufficient fund and by affixing a
round stamp).
The customer has to pay the service charge set for each transaction of a
standing instruction as stipulated in the terms and tariff, if it is paid in cash.
a) Enters all the relevant information of the standing instruction into the
system prepared for the purpose and keeps same under a box file with
her/him, so as to take the appropriate action thereon on the specified
date; and forward the standing order form to the branch controller;
a) Issues a bank statement upon the request of account holders in the form
of either soft (PDF form) or hard copy by collecting the service charge as
per the terms and tariffs of the bank. The account holding branch or any
other networked branch shall issue bank statement to account holders/
signatories.
b) In case of the standing order in provision of periodic bank statement
through customers email ,the customer shall fill application format
9.9 Blocking
An amount could be blocked from a particular account or the account itself could be
fully blocked if and when the customer lodges a request for blocking, or based on a
courts ruling to that end, or any other organs having a power to block account by
law, or as collateral of a loan to be extended to her or him.
organs/Court order;
b) Sets aside the fund as security under locked status by specifying the
reason on description box on the system; writes the locking transaction
number and the word locked by system on the instruction letter. if the
blocking instruction entails the partial blocking of the amount;
c) Places a Post No-debit restriction and lock the entire amount by placing
a locked status on the system by the specifying the reason if the
blocking instruction entails the blocking of the account;
d) Informs the customer that the blocking of specified amount from her/his
account, indicating the reason(s) for blocking.
e) Requests the customer to indicate the account number, the amount of
money extended as a loan and the due date for it to be repaid if the
blocking is made as a deposit of collateral for a loan,;
f) When the customer repays the loan in full, which is confirmed by the
concerned organ of the bank, release the locked amount;
g) Replies to the concerned organ and notifies same to the customer and
maintains the blocking document until it is released.
h) Checks the locked amount list on the system against the document at the
end of the month; and
i) Passes the instruction letter to the Branch Controller after releasing the
amount.
ii. When a blocked account request is lodged to the bank (At Head office.-
Center).
When such a request is received by the bank, the request shall be forwarded
a) Follows the procedure stated under specific branch Upon receiving the
request from CATS-CPC (a-f except c and d);
Safe Deposit boxes are available to any person or group that would require one
for safekeeping.
i. To rent a Safe Deposit Box, the customer must complete and sign a Safe
deposit box agreement(Refer form CBECATS007)
ii. This agreement contains the date, customer name, customer account
number, and the Safe Deposit Box Number, the annual rental fee, renewal
date, terms and conditions of the agreement, customer signature and
authorized signature by the bank.
iii. When the first annual rent and a safe Deposit box key guarantee collected
from her/his account, the bank issue two keys which fit only her/his safe
Deposit box lock.
iv. The minimum period of accepting a safe deposit box shall be one year.
v. The maximum period for safe deposit box rental agreement is nine years,
but the rent shall be collected annually (one year rent only).For any change
on the rent amount the customer shall not be charged or refunded for the
difference on the charge until the prepaid period elapsed.
vi. When the safe deposit box needs to be broken and opened by the bank due
to the reasons stated on the safe deposit box agreement, The Box will be
opened in the presence of a safe deposit custodian (customer service
Manager), Branch Manager and Court official as per commercial code Art
923(2) who will make an inventory of the contents of the Box, and the
contents will be kept in a vault or safe of the Bank until final a ruling by the
CATS Procedure | 145
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
court is made.
a) Deals with the customer and assists on the preferred size of the safe
deposit box and advice the customer about the agreement and how to
use the box, such as to:
b) Requests the customer to fill out the application form and to sign the
contract designed for the purpose and retain the photocopy of the ID;
c) Forwards the necessary documents to the Customer Service Officer
Maker at the back;
d) Signs on the safe deposit box contract.
e) Prepares the Safe deposit box customer ID.
f) Registers the safe deposit ID and particulars on the register book.
g) Gives the safe deposit box keys and Customer safe deposit box ID against
her/his signature.
h) Keeps the contract, the debit advice for rent collected and the credit
advice for deposit for Safe Deposit Box guarantee in a separate mandate
file and Customer visit sheet;
i) Identifies the customer by her/his Safe Deposit box customer ID and his
personal ID When the customer visits his/her Safe Deposit box;
j) Ensures the customer signs on Visit form and open the dual lock by the
bank key and leave to the customer to open her/his box by her/his key;
k) Locks the safe deposit box from the bank side when the customers visit
ends; and
l) Takes action as per the contract agreement if the annual rent not
collected inform the customer by the address
a) Sets a standing instruction in the system for collecting safe box rent
annually;
b) Follows-up monthly unexecuted standing instructions due to insufficient
fund in connection with safe box rent and informs the Customer Service
Manager to take action as per the contract agreement.
a) Receives the customer and identifies him/her against the mandate file
kept for the purpose;
b) Issues visiting format to be filled by the customer and verify the customer
against his signature and details ;
c) Checks whether the customer have the appropriate key to open the safe
deposit box ;
d) Ensures the customer have concluded rental payment and if otherwise
collect the rental payment from the customer account ;
e) Escorts the customer to the safe deposit box and leave her/him for an
average of 15 minutes with safe deposit box ;and
f) Signs and file the vising sheet in the mandate file
An account holder may request for changing her or his signature for either of
the following two reasons:
a) Interviews the customer in order to find out her or his reason(s) for
deciding to change her/his signature;
b) Scrutinizes the application form for a change of signature against the
customers ID card and her/his old and new signatures;
c) Co-signs, if everything is in order, on the space provided thereof on the
application form for a change of signature; and
d) Sends the application form for a change of signature to the Branch
Controller.
a) Receives the application form for a change of signature, after it has been
signed and co-signed by both the Maker and Customer Service Manager;
and
b) Checks all particulars filled in the application form for a change of
signature against the copy of the customers ID card and the previous
pertinent documents.
The amendment shall require the cancellation of the original message and
security number by paying the money back to the remitter and transfer new
message against the expense of the customer, if amendment is initiated by the
customer. Otherwise, the second transfer should be free of charge (refer form
CBECATS109)
If the error is made by the remitter, the originating branch shall follow the
following procedure.
b) Collects the required commission for amendment and give the deal
slip to the customer;
c) Upon receiving the verified letter of application from the Checker,
Branch Controller
The originating branch that received the cancellation request (the remitting
branch) shall follow the following procedure:
a) Makes sure that the letter of application has the information required to
request for retransfer/cancellation and approve the payment to be
processed;
office)
When the remitter lost the LMTS Security number and reports the case to the
Branch for return or payment to the beneficiary, such request shall only be
presented to the originating branch.
The originating branch shall follow the following steps:
a) Makes sure that the letter of application form has the required
information;
b) Finds the transaction reference number and the remitter name from the
outstanding LMTS payable list;
c) Sends the request to Customer Service Manager at Customers Accounts
and Operations for LMTS security number by indicating the transaction
reference number and remitters name by stating his/her Outlook
address of the bank;
d) Places a stop flag for payment restriction in the system until security
number is received from Customer Service Manager at Customers
Accounts and Operations for;
e) Receives the security number from Customer Service Manager at
Customers Accounts and Operations for through CBEs internal email
and communicate the customer; and
f) Releases the Stop payment and approves the payment upon presence of
the customer.
a) Receives original and one copy of power of attorney letter from the
agent/principal;
b) Interviews the customer the service he/she and checks the power of
attorney that gives the power to act the agent for the requested service by
referring court and court execution guide line of the bank;
c) Returns the original to the customer and forward the copy documents to
KYC Analyst for authentication. If she/he is satisfied that the power of
attorney shall have the power to get the service. However, if she/he is not
satisfied advice the customer to adjust her/his power of attorney or
forward the case to legal service for further advice;
d) Receives the authentication and forward the case to the concerned officer
to give the service if the power of attorney requested for a single
transaction;
e) Forwards the power of attorney to customer service officer-maker to
receive a signature, scan and attach to the account if the power of
attorney request for account operation; and
f) Receives the cancellation power of attorney from the principal and delete
the signature of the agent and cancel all accesses of the signatory, i.e. E-
Banking products in the case of power of attorney cancellation.
KYC Analyst
c) Receives the response from the issuing organ and inform same to the
Customer Service Manager for further processing ;
f) For Bonds mature from 1-5 years, the Bond buyer can redeem bond value
at least after one year from the issuance date, i.e. the GERD bond buyers
cannot redeem the principal value before one year. Furthermore, the
GERD bonds which are redeemed after one year but before maturity date
are subject to penalty charge on the accrued interest.
g) For the GERD bonds maturing above 5 years, the bond buyer can redeem
bond value at least after three years from the issuance date, i.e. bond
buyers cannot redeem the principal value before three years.
Furthermore, the GERD bonds which are redeemed after three years but
before maturity date are subject to penalty charge on the accrued
interest;
h) Shall have Stamp of the Ministry of Finance and Economic Cooperation
(MoFEC) and signature of the Minster (MoFEC);
f) If the GERD bond buyer wants to be redeemed before maturity date, the
request shall be lodged to DBE ;
g) Tears, water-wash, fire-burn, or partial/complete damage during
stamping, packing, or transportation before its sale and mistakes made
when writing on the blank spaces of the coupons during the sale lead to
voidance of the bond coupons. Such bond coupons should be stamped or
written on them Void. Voided coupon must be reported regularly and
with the voided coupon(s) sent to the Head Office of DBE in the same way
as the other activities of the bond sales.
a) Receives the bond coupons by denomination and sales receipts from DBE
head office and forward the bond coupons to Bond Management Officer;
b) Receives bond coupons request from Addis Ababa city District offices;
approve and forward to Bond Management Officer;
c) Makes sure the stock is balance;
a) All savings passbooks received from supplying organ, as per the requisition
thereof, should be registered numerically in the savings passbook stock
register and kept in the custody of Customer Service Manager;
b) At the time that the passbook is issued, it should be recorded on the register
on the system and delivered to the Customer Services Officer/Checker by
dispatch book for daily use against her/his signature;
d) Customer Service Manager should daily check the passbooks handed over to
A wide variety of rubber stamps are being used in the Bank. The types of rubber
stamps used must be recorded in the register book prepared for the purpose.
As stamps are sensitive by nature, the staffs who keep custody of rubber stamps
should bear in mind that they must be kept under lock when not in use. The
following are the steps to be taken in this regard.
a. The following keys shall be recorded on the Banks Official Key Register
Book and Signed for by the Respective Persons responsible to handle the key
I. Keys for strong room doors and large safes used as cash vaults,
II. Keys for petty cash safes and grill doors for petty cash;
III. Keys for server rooms:
IV. Keys for safes or fire-proof cabinets containing valuable documents or
instruments;
V. Keys for regular filing cabinets and desks;
VI. Keys for Gates and Offices;
VII. Transfer of keys from person-to-person needs to be duly recorded in
the register, against signature of holder, and needs to be updated
regularly.
b. Holders of cash vault room and cash safe keys should not leave behind their
keys in the Bank premises after office hour.
a. Duplicate keys of strong room doors and safes of branches must be held by
the respective District under the dual control of the Manager-district
operations and the manager of the nearby branch to the District. These
duplicate keys must be kept in a safe custody at cash vault room of the
nearby branch to ensure immediate supply in case of emergency.
b. Combination-Code of cash vault doors/safes should be sent to the
respective district manager (refer form CBECATS203) being in a sealed
envelope, for a precautionary measure. upon sending this confidential
information shall ensure that:
I. Double envelope is used.
II. The outer envelope is properly sealed and marked confidential; and
III. The inner envelope is also properly sealed, stamped with stamp of the
respective organ and marked combination-code
c. Code numbers for Tellers Cash box or duplicate keys must be with the
Branch Manager; and the sealed envelopes should bear the names of the user
branch and person clearly and marked with phrase Combination code-
confidential on the envelopes.
a. The individual key holders should immediately report the loss of keys in
writing to their immediate supervisors ;
b. Those in custody of duplicate keys upon receipt of loss reports-must
immediately supply the duplicates to the concerned Branch /individual ;
c. All costs and expenses that are incurred as a result of a key or keys
replacement or the change of a locking-device will be paid by the employee
who lost the key or keys.
d. Lost strong room door or large safe key must be totally replaced by a new
one at the expense of those responsible.
10.1 Cash handling between NBE and Cash custody and issue
The account held for NBE should be known as cash held for the Currency
Management of the National Bank of Ethiopia. This is maintained by various CBE
branches authorized to hold cash for the NBE. The account is:
a) Debit for any amount of money lodged to it, and credit for any amount of
money withdrawn there from and transferred to a bank.
c) Both the withdrawals and lodgings of cash from these accounts ought to be in
components of Birr 50,000.00. It is, nonetheless, imperative to post the
transaction on NBE system by specifying amount and the denominations of
the Birr notes lodged into, or withdrawn.
d) To make sure that requests are lodged accordingly and promptly to the NBE,
CBEs branches are required to make a thorough assessment of their cash
position well ahead of time and thereby know when the amount of the cash
in their possession will decrease or increase.
a) Cash withdrawn from the "cash held for the National Bank of Ethiopia"
for starting the days operations should be recorded in the bound book
and a signature must appear on the space provided for that purpose. The
denominations of the cash withdrawn should also be clearly disclosed in
the bound book.
b) Each withdrawal should be shown on the stock card kept for the purpose.
c) Pass the necessary entry in the NBE system.
d) The branch that withdrew or Debit cash from its "cash held for the
National Bank of Ethiopia" will credit Issue Account with NBE with contra
cash.
a) Any lodging of cash should be recorded in the stock card kept for each
denomination. Then, after it has been recorded, the personnel who did the
lodging thereof must put her or his initials on the stock card.
b) The branch that lodges cash to the "cash held for the National Bank of
Ethiopia" should inform the NBE through NBEs cash management system
about the amount of the money lodged and the denominations thereof.
c) Issue holding branches and Cash custody and issue will debit the Issue
Account with NBE of the CBE and credit the branch Cash account that lodged
the money.
d) Maximum care must be taken to Cash in Transit," to ensure the safety of the
cash being transported from one place to another.
10.2 Cash handling between Cash custody and issue and branches
10.2.1 Cash collection from Cash custody and issue/ the NBE Issue Account-
Holding Branch
I. City Branches
a) Counts the cash, in collaboration with the Customer Services Officer at the
table, ascertains the correctness of the amount and the denominations
thereof by comparing it with Handing and taking over format (refer
FORMCBECATS202),When receiving cash from the senior customer
services officer-Cash (Cash custody and issue) in front of the Senior
Customer Services Officer from the Cash custody and issue
b) Signs on the Handing and taking over format and gets the Customer
Services Officer/Maker co-sign on it, affixes a stamp and hands it over to
the Senior Customer Services Officer of the Cash custody and issue at the
Cash custody and issue as an acknowledgement of receipt of the cash;
c) Passes one copy of Handing and taking over format to one of the
Customer Services Officers/Makers for posting the cash received; and
d) Registers the denominations of the cash in her/his cash position book
and posts the total amount thereof into his computer as cash received.
a) Receives one copy of Handing and taking over format from Senior
customer service officer-cash;
b) Posts the transactions.
a) Receives the handing and taking over form from the Customer Service
Officer-Maker;
b) Checks the transaction on the system;
a) Follows the same procedure discussed herein above under the senior
customer service officer cash for city Branches.
a) Follows the same procedure discussed herein above under the senior
customer service officer for city Branches.
a) Receives the handing and taking over form from the Senior Customer
Service Officer-Cash;
b) Checks the transaction on the system; and
c) File and keeps the appropriate document
10.2.1.2. Responsibility of Cash custody and issue/ the NBE Issue Account-
Holding Branch
i. City Branches
a) Upon receipt of the tested message from the branches, ascertains and
decodes the message and forwards it to manager customer Services at
Cash custody and issue that she or he will keep it in her/his custody; and
b) Provides a van for transporting the cash, as well as the security guards
who will escort it (the cash).
a) Prepares cash Handing and taking over format for the total amount of
money to be supplied to the branch, disclosing the breakdown of the
denominations thereof;
b) Arranges the date, the time and the Senior Customer Services Officer-cash
who will provide the cash to the branch; and
c) Arranges the cash requested for, in accordance with the preferred
denominations, and hands it over to the concerned Senior Customer
Services Officer-cash, together with Handing and taking over form.
The Senior Customer Services Officer-Cash (at Cash custody and issue)
a) Follows the same procedure discussed herein above under the Head of
the Cash custody and issue.
The Senior Customer Services Officer-Cash (at the NBE Issue Account-
Holding Branch)
a) Follows the same procedure discussed herein above under the Customer
Service Manager of the Cash custody and issue.
a) Is responsible for taking the cash requested for by following the same
procedure discussed above under the Senior Customer Services Officer-
Cash (at the Cash custody and issue);
a) Receives the handing and taking over form from the Senior Customer
Service Officer-Cash;
b) Checks the transaction on the system; and
c) File and keeps the appropriate document
10.2.2 Cash surrender to Cash custody and issue/ the NBE Issue Account-
Holding Branch
i. City Branches
a) Requests the Cash custody and issue for the collection the excess cash
through letter. the following issues must fulfilled:
a) Requests for the ID card of the Senior Customer Services Officer-Cash and
ascertains that its number is similar with the one that appears in the
letter;
b) Prepares Handing and taking over format for the total cash to be sent to
the NBE issue account-holding branch or Cash custody and issue,
indicating the breakdown of the denominations and signs on it;
c) Prepares the cash to be sent from the vault to Cash custody and issue, in
collaboration with Customer Service Manager;
d) Identifies the Senior Customer Services Officer-Cash (at the Cash custody
and issue) in charge on the file copy of the Handing and taking over
format which will be retained by the branch and makes her or him sign
on it to acknowledge receipt of the cash; and
e) Transfers the amount and denomination of cash to be dispatched to the
customer service officer-maker through the system together with a copy
of the handing & taking over format for posting.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Accepts the money through the system and posts it into the system as
payment.
a) Receives the handing and taking over form from the Senior Customer
Service Officer-Cash;
b) Checks the transaction on the system; and
c) File and keeps the appropriate document
An outlying branch having excess cash shall first inform, in writing the branch
holding cash for the "National Bank of Ethiopia Issue Account" as follows:
f) Wraps up, in accordance with their denominations all Birr notes that are in
good condition as well as those that are mutilated and dog-eared, and the
signatures of the pertinent staff must then be affixed to the wrappers;
g) Arranges Wrapped-up bundles of Birr notes in bricks;
h) Prepares Handing and taking over format the total amount of money to be
dispatched, indicating the breakdown thereof in denominations;
i) Surrenders the cash to the Senior Customer Services Officer-cash upon its
arrival at the "NBE Issue Account-Holding Branch," together with Handing
and taking over format.
j) The Senior Customer Services Officer-Cash, for her or his part, accepts the
cash and counts it, with the help from the Customer Services Officers, and
thereby ascertains the correctness of its amount as per the Handing and
taking over format thereof.
10.2.2.2. Responsibility of Cash custody and issue/ the NBE Issue Account-
Holding Branch at the time of cash collection from branches
i) City branch
a) Upon receipt of the letter of request from the city branches and the tested
message from the outlying branches, ascertains and decodes the message
and arranges a van for collecting the cash, together with the security
guards who would escort the cash; and
b) Prepares the introduction letter that specifies the persons carrying the
cash, the security guards, the driver, etc. and signs on it.
The Customer Service Manager - Cash custody and issue
a) Arranges the date, the time and the Senior Customer Services Officer(s)
who will collect the cash from the branch;
b) Sends the introduction letter to the branch, disclosing therein the name of
the Senior Customer Services Officer and her/his ID No.; and
c) Assigns a team leader to the van and entrusts her/him with the
responsibility of coordinating the work of the assigned senior officers.
The Senior Customer Services Officer-Cash (at Cash custody and issue)
a) Takes the letter to the branch and hands it over to the Senior
Customer Services Officer-Cash;
b) Receives the cash, counts it as well as the denominations thereof, and
ascertains that its amount and the breakdown of its denominations
agree with what is written on the handing and taking format , and
meticulously counts especially notes of Birr 50 and Birr 100besides
carefully checking to make sure that the bundles made of Birr notes
that are below 50 are arranged in bricks; and
c) Takes the cash, escorted by the security guards assigned to escort it.
Upon receipt of the letter of request from the cash-dispatching branch, the NBE
Issue Account-Holding Branch shall do the following:
a) Arranges a van that will transport the cash and the security guards who
will escort it;
b) Assigns a staff that will collect the cash;
c) Prepares a letter to the dispatching branch, disclosing therein the name of
the staff to whom the cash is to be surrenderedas well as her or his ID
No.;
d) All the letters that are to be written in connection therewith shall be
signed by Customer Service Manager/the Branch Manager and must bear
the seal of the branch;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
e) The staff assigned to collect the cash and hands over the letter to the
Branch Manager/Customer Service Manager who will have to then direct
it (the letter) to the Senior Customer Services Officer-Cash;
f) The Senior Customer Services Officer at branch arranges the cash to be
dispatched, in accordance with the handing and taking over form thereon;
a) Cash consignment from one branch to another and from the Issue Accounts
to the branches shall always be escorted by security guards, if a branch has
no security guard of its own;
b) If the distance to be covered requires an over-night stay on the way, it shall
be planned in such a way that the town where the night is to be passed shall
be preferred for the safety of the cash.
c) Whenever possible, a trip with cash after sunset or before sunrise shall be
avoided.
d) If there is a branch of the CBE in that town, the vehicle carrying the cash shall
be made to stay for the night in the compound of the branch, vigilantly
watched by its escorts. In the absence of a branch, however, the vehicle shall
be parked either in the compound of a nearby police station or in a military
camp, accompanied by its escorts.
The Customer Service Manager and Senior Customer Service Officer-Cash shall
distribute cash to customer service officers as per the cash limit indicated
hereunder for starting the days operation and during the days operation. However,
the limit set by the branch should not exceed the amount stated hereunder:
10.4.2 The Procedure for Opening and Starting the Days Operations
a) Opens the vault and withdraws there from the cash that will be needed
for the days Operations jointly, with Customer Service Manager,;
b) Transfer the amount of cash withdrawn from vault against the
denomination through Vault to till transfer.
c) Distributes adequate physical cash in all kinds of denominations to the
Customer Services Officers/Makers;
d) Transfers through the system to the concerned Customer Services
Officer/Maker the required-cash and the petty-cash balance held in each
of the Customer Service officer cash boxes;
e) Hands over the cash box that was kept locked in the vault to each
Customer Services Officer/Maker; and
f) Transfers the closing balance of the cash book of the previous day and the
balance of the day to the cash book as balance brought forward (BBF).
a) Opens the vault and withdraws there from the cash that will be needed
for the days operations jointly, with the Senior Customer Services
Officer-cash,;
b) Writes the cash withdrawn from Vault by denomination on the bound
book and make the senior customer service officer-cash put his signature
on it as acknowledgment of receiving the cash.
c) Authorize vault to Till Transfer;
d) Assigns Customer Services Officers/Makers who will assist and facilitate
the cash operation at the counter and at the master table (where the
Senior Customer Services Officer-Cash is working) ;
a) Collects the cash box from the vault when it is opened in the
morning;
b) Opens the cash box in front of the Senior Customer Services Officer-
Cash to confirm the existence of petty cash (the cash leftover in the
box from the previous day), together with the personal cash
brand/stamp;
c) Takes the cash box to its cage, and verifies the amount of the petty
cash transferred through the system against the previous days
record and accept/authorize;
d) Collects the cash from the Senior Customer Services Officer-cash and
checks all the complete bricks to ascertain that each one of them
contains 10 bundles and that all of them have been wrapped;
e) Makes sure that the signatures or the initials of the Cash Counter and
the Verifier have been affixed to the bundle. Notes of Birr 50 and Birr
100 are to be accepted only by carefully counting each one of them;
f) check the amount of cash transfer through the system, authorize the
Till transfer as acknowledgment of receipt of cash for the daily
operation; and
g) Adjusts the date of the stamps (brands) before starting the days
operations.
a) Receives the cash and counts it with help of the Table Master;
b) Ascertains the correctness of the money received, in accordance with
the denominations written down;
c) Acknowledge receipt of the amount of money by authorizing the till
transfer through the system;
d) Receives the money at the table by carefully counting each bundle and
brick and after checking the correctness of its amount by comparing it
with that in the system (till balance by denomination) of the
Customer Service Officer Maker (at the table) ,whenever the money at
the table becomes twice the size of the front officer limit .
ID, affixes a stamp to the voucher/s, signs on it and prints a deal slip;
d) Makes the cash office attendant wrap the bundles of the Birr notes
according to their denominations and affixes a stamp to the wrapping
paper;
e) Signs on the wrapped Birr notes to confirm the correctness of the amount
of money in each bundle (two signatures are required on wrapped notes
of Birr ten and above, and one signature on wrapped notes of Birr one
and five); and
e) Balances the money according to its denominations and hands it over to
the Senior Customer Services Officer-cash, and transfer the cash through
the system, whenever the money at the table becomes twice the size of
the front officer limit.
f) During lunch time in the absence of the senior customer service officer
cash; she/he shall handle till to till transfer.
i. At lunch time
a) Hand over all the Birr notes in bundles, except the loose ones, to the
Senior Customer Services Officer-cash and make a till transfer through
the system;
b) Hands over to the Branch Controller the remaining vouchers in her or his
possession,
c) Balances the overall physical cash against the system and the format
designed for the purpose (Refer form CBECATS201).
d) Keeps the cash in her or his hands (the petty cash) in the box, together
with the stamp, lock the cash box and hands it over box to the Senior
Customer Services Officer-cash.
a) Amalgamates the cash in her or his hands in bundles and loose notes,
sorting it by its denominations, and balances the overall cash as follows:
(Refer form CBECATS201)
a) Accepts the remaining bundles at end of day from the Customer Services
Officers sent to her or him;
b) Checks against the system the correctness of the amount of the cash
received from the table and of that surrendered to the table by each
Customer Services Officer during the day; and
c) Checks the correctness of the amounts of money in each brick and loose
bundle and surrenders them to the Senior Customer Services Officer-
cash.
a) Balances the money and coins she/he received from the Senior Customer
Services Officer-cash, the money and the coin still in her or his hands
against Till balance by denomination on the system; and
b) Submits to the Senior Customer Services Officer-cash the cash and the
coins still in her or his hands and make a Till transfer.
a) Accepts the cash from the Customer Service officer Maker at the table,
after checking against the system;
b) Receives cash from the Customer Services Officers/Makers against the
balance shown in the system;
c) Receives the total amount of cash from the Customer Services Officers by
authorizing the Till transfer as acknowledgment of receipt of Cash.
d) Makes sure that the bricks contain 10 bundles of 100 Birr notes each and
that the packet bears the initials of the Counter and of the Verifier in the
cases of notes of Birr ten and above, and also count each FCY currency;
e) Balances the total cash (Both local and foreign currency) transaction
against the Customer Services Officers balance in the system;
f) Records the breakdown of all Customer Services Officers petty cash on a
register for the next days transfer;
g) Writes the balance of the daily debits and credits on the cash book;
h) Fills the amount of money withdrawn from the vault during the day and
the amount of money lodged to the vault on the cash book;
i) Balances the cash books of local and FCY against the Vault account
balance and signs on the space provided for that purpose;
j) Posts the cash lodged to the vault on the system under the file Till to
Vault transfer; and
k) Transfers the cash lodgment to the vault, together with the petty-cash
CATS Procedure |
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Checks the correctness of the amount of the cash balanced by the Senior
Customer Services Officer-cash against vault Till balance by
denomination, in the system;
b) Makes sure that each brick contains 10 bundles and counts all the loose
Birr notes and count each FCY;
c) Authorize the Till to Vault transfer made by Senior customer service
officer-cash;
d) Transfers the physical cash lodgment to the vault, together with the petty-
cash box jointly, with the Senior Customer Services Officer.
a) Receives and balance all makers cash closing sheet against the general
ledger balance of system
A request for such a refund should normally be lodged instantly. Unless a valid
reason has been given for the delay, such claims should not be entertained 15
days after the money was deposited. The claimants application must contain
The Customer Services Officer may recall the circumstance under which the
excess occurred and she/he may even recognize the claimant. This must be
included in the Customer Services Officers report, which should be critically
looked into.
iii. Receipt or a Payment Voucher in which the Excess is claimed to have occurred
If the denominations reflect the error made, the refund could be approved easily.
Besides, the document is essential to determine how much money was involved
at the time of the deposit or withdrawal in order for the excess to occur.
All other factors that corroborate the claim may be considered, although it is
difficult to enumerate all of them here.
The Branch Controller and the Branch Manager should work out the
denominations of the excess. Deposit will be added on to the beginning cash
balance by denomination and withdrawals will be deducted in the same manner
to arrive at the denominations of the closing cash balance. This should be
performed without fail, and those who approve the refund of excesses will
consider such reports in their decisions.
v. Undertaking or Guarantee
If and when it cannot be completely proved that the excess belongs to the
claimant, but there are some reasons to support the claim, an undertaking or
guarantee should be obtained for paying back the money with interest thereon,
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
The Branch Controller should report to the concerned district office on the
excess refund approved by the branch. The district office should then
communicate the approval of the excess cash to the Internal Audit.
i. Good Coins
a) If the branch has a coin-counting machine, the counting of the coins should
be done by Cash Office attendant. The numbering of the machine should,
however, be attended by the Customer Services Officer. In a branch where
there is no such machine, however, the counting of the coins should be done
by hand, by Cash Office attendant. In the event that the workload of the cash
work is too heavy for Cash Office attendant to do the counting, nevertheless,
the customer may be requested to assist in stacking up the coins. If she or he
is willing to assist, he should, however, be provided with the coin tray of the
Bank.
b) Coins of all denominations that are hand-counted should be arranged in a
pile of twenty coins each and be put in a tray in rows. A tray of coins should
contain 100 piles of coinsthat is, ten piles wide by ten piles long (10 X 10).
Before the coins are put in a bag, the Customer Services Officer should check
the accuracy of the counting of the coins arranged in the tray.
c) After the counterfeit money has been counted, a small card that shows the
amount, the initials of the Counter and of the Verifier as well as the date on
which the counting was done should be put in the bag. Then the bag must be
sealed.
d) A coin bag that is full should either be sealed or tied with a string. Thereafter,
a tag with the appropriate color should be attached at the end of it, showing
the denominations, the amount of money, the date on which it was sealed
and the initials of the persons by whom it was counted and verified as well as
the name of the branch.
e) In the vault, or in the cash held for the National Bank of Ethiopia (NBE), the
coin bags should be kept separately, according to the types of coins they
contain. In other words, coins of one denomination should be kept in one bag
as indicated above.
f) Dilapidated coins should be kept separated from the coins that are in good
condition, with a note in the bag showing the amount thereof and the initials
of the two custodians.
a) Except notes of Birr one, all other money notes should be counted by one
person and then verified by another. Both the Counter and the Verifier of the
notes should sign at the two corners of the bundles containing the first
money notes. The money so counted should then be wrapped. It must also
bear the initials of the Counter and of the Verifier and the date on which it
was wrapped and the name of the branch where the wrapping of the bundles
was done.
b) A bundle should contain 100 notes, and a brick 1,000 notes. In other words,
the Birr notes have to come in ten bundles, a rubber string strapped around
them, with a label on one side of the brick showing the following:
i. The amount of the money in Birr;
ii. The date on which it was strapped;
iii. The name of the branch; and
iv. The initials of the Counter and of the Verifier.
c) No amount of money that comprises less than 100 notes should be wrapped.
And loose Birr notes should be strapped with a rubber band.
d) Birr notes of one denomination must be kept in the same place, whether it is
in the petty cash, the vault or in the vault marked Cash Held for the National
Bank of Ethiopia. They should be issued in the order of first-in, first-out and
should not be kept for more than one year after they have been strapped into
bricks.
e) All the initials or signatures on the bundles of the Birr notes must be visible.
f) An incoming or outgoing consignment of cash should always be opened in
the presence of the Senior Customer Services Officer-cash and Customer
Service Manager.
g) Cash Office attendant Office boys/girls should never be left alone to wrap the
Birr notes without the supervision of either the Customer Services Officer or
the Senior Customer Services Officer.
h) All Customer Services Officers should be occasionally requested to deposit
fresh specimens of their respective signatures and initials in duplicate. The
original must be kept by the Senior Customer Services Officer/Cashier and
the duplicate should be passed on to the Branch controller/Checker so that
she or he will keep it in her/his custody. The frequency for obtaining such
specimens is left to the discretion of the Senior Customer Services Officer/the
Branch Manager.
a) Birr notes that are in bad physical conditions should be kept separately,
according to their denominations, segregated from the Birr notes that are
still in good condition. Any mutilated or damaged Birr note should be
withdrawn from circulation and kept together with the other Birr notes that
are like it so that it may not be re-issued by mistake. However old, every time
a Birr note of a certain denomination reaches 100 in number, it should be
counted, verified and wrapped and treated like all other bundles of new Birr
notes. After all the counting, wrapping and signing is completed, however, a
stamp should be affixed to each bundle, to both sides thereof, with a large
rubber stamp marked DETERIORATED with bold letters, so that the
stamping appears on the full length of the bundle. Once a bundle is
obliterated with such a stamp, it is highly improbable that it could be issued
again by mistake for circulation.
b) The damaged or mutilated Birr notes presented at the counter of the
Commercial Bank of Ethiopia for redemption of their value shall be treated
by the guide line of NBE.
c) The shapes and sizes that these remnant Birr notes take on from some fire,
rodents and other blights are varied and numerous. Not many patterns may
be devised and shaped to illustrate each of them. The NBE has, however,
devised eleven patterns against which we should try to compare and
determine the values of the mutilated and damaged Birr notes presented for
redemption. Their samples are forwarded to all CBEs branches under a
separate cover. If a branch, nonetheless, happens to come across Birr notes
whose shapes do not have any semblance to any of the eleven patterns
referred to above, they are requested to refer them to the NBE.
a) For the exchange of Birr notes, the Customer Services Officer will receive
from the Senior Customer Services Officer a fixed amount of physical cash in
different denominations, preferably small denominations, and through the
system.
b) The Customer Services Officer shall count the cash she or he is provided with
in front of the Senior Customer Services Officer. If an additional amount of
money is needed for exchange, the Senior Customer Services Officer shall
provide the cash against through the system.
c) The customer service officer shall authorize the Till transfer on the system
as acknowledgment of the receipt of cash.
d) The Customer Services Officer will exchange big Birr notes received from the
public into Birr notes of smaller denominations and vice versa and posts on
the system.
c) At the end of the cash operations, during lunchtime and at the day-end
closing, the Customer Services Officer will have to surrender the cash in her
or his hands to the Senior Customer Services Officer-cash in different
denominations and shall make a Till to Till transfer .
a) For the exchange of coins, the Customer Services Officer will receive in the
morning coins in bags with different denominations from the Senior
Customer Services Officer and authorize the till transfer for acceptance.
b) The Customer Services Officer shall examine the tag on the coin bags and the
lead used for packing the coin and counts the coins with a coin-counting
machine to ascertain the correctness of the amount thereof.
c) The Customer Services Officer should balance the coins during lunchtime and
at the day-end closing and hand over to the Supervisor the equivalent thereof
in Birr notes.
a) A detailed record must be kept by the Senior Customer Services Officer for
recording cash denominations received from the Customer Services Officers.
b) Regardless of their denominations, all Birr notes must be sorted, counted and
wrapped, in collaboration with the Customer Services Officers and Cash
Office attendant;
c) Wrapped Birr notes should be impressed by a cash stamp and signed by both
the Counter and the Verifier or by the Senior Customer Services Officers.
d) The Table Master (customer service officer) should make sure that the total
of the cash surrendered by the Senior Customer Services Officer-cash, as
recorded in the Till to Till Transfer, agrees with that of the cash sorted and
held in the Table.
e) After balancing, the Table Master (Customer Service Officer) in charge will
have to deliver the cash, according to its denominations, to the Senior
Customer Services Officer and shall make a Till to till transfer.
i. A brick should contain 10 bundles, and each bundle 100 Birr notes;
ii. Bundles must be properly wrapped, sealed and bear the signatures of
the Counter and of the Verifierthat is, of the Maker and the Checker;
and
iii. Birr 50 and Birr 100 notes will have to be carefully counted either by
herself/himself or by the Table Master in charge.
In the middle of the daily operation when excess cash received from the
customer or cash consignment received, the Customer Service Manager with the
Senior Customer officer-cash shall lodge the excess cash to the Vault by writing
the amount and the denomination on the bound book and make the customer
service manager Sign on it.
The Senior Customer service officer-cash transfers the cash through Till to
Vault menu and the Customer Service Manager authorizes it.
After handling of the cash is secured and the final closing in the cashbook is
recorded according to the denominations, Customer Service Manager shall
undertake the following:
a) Verifies the correctness of the cashbook filled out by the Senior Customer
Services Officer against the Teller Transaction today report and till
balance by denomination on the system;
b) Verifies that each brick contains 10 bundles, before transferring the cash
to the vault;
c) Balances the vault cash with that of the till to vault transfer made by
Senior customer service officer cash; and
d) Authorize the Till to Vault transfer for amount lodged.
The duties and responsibilities that the operators involved in handling the cash
box and brand are the following:
a) The cash box that is given to one Customer Services Officer shall be
transferred to another Customer Services Officers by changing the key; as
far as handing and taking over is properly undertaken in writing ;
b) The Customer Service Officer stamp shall be transferred to, or exchanged
with, other Customer Services Officers, as far as handing and taking over
is properly undertaken in writing;
a) Receives from the Customer Service officers at front office makers with a
sealed envelope that contain the combination code and/or duplicate key;
b) Keeps the sealed envelopes that contain the combination codes and/ or
duplicate key of each cash box held in the branch;
a) Sets the cash limit of the branch before the cash operation starts;
b) Registers the cash stamp into a register book, affixes the stamp to the
register book and keeps it (the register book) in her or his custody; and
c) Provides the Customer Services Officer-front maker with a cash stamp
and a cash box individually with by letting her/him signing on the
stamp handing over and taking over stamp register book.
a) Makes sure that the leftover cash (petty cash) physically exists in the box
before placing the cash box in the vault; and
b) Countswhen least expectedthe cash reported on the Petty cash sheet
(refer CBECATS201) by the Customer Services Officer, in order to verify
the correctness thereof.
a) Seals, signs and hands over the envelope that contain duplicate key
and/or combination code to the Branch Manager for safe-keeping;
b) Surrenders the cash box that contains the petty-cash balance to the
Senior Customer Services Officer for safe-keeping in the vault before she
or he goes out for lunch and at the end of the day;
c) Starts the cash operation with the petty-cash balance in the cash boxin
the morning as well as in the afternoonand requests for additional cash
when necessary;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
d) Ensures that the cash stamp/brand is kept together with the petty cash in
the box and that the cash box is locked with a key; and she or he was
provided with and/or that its combination code has been locked and
transferred to the vault.
10.4.15 Handling of Branch cash vault and ATM safe key and
Combination
The Customer Service Manager and the Senior Customer Services Officer-cash of
the branch are responsible for keeping the dual lock keys of the ATM safe and
Cash Vault.
In case of, the dual lock is a combination and a key; the combination shall be
handled by the Customer Service manager and the physical key by senior
customer service officer-cash.
a) Receives opened Vault or ATM Safe and make change the combination by
himself and keep confidential for himself;
b) Writes combination code, vault type and other particulars on
Combination code reporting format and sealed in White envelope sign on
the sealed part.
c) Inserts the envelope on a small size kaki envelope, sealed the kaki
envelope, stamp on the sealed part and write Private and confidential
and send to the respective district manager.
d) He/she shall not hand over the combination code instead make the taking
over person to change to her/his own combination code by giving opened
vault or ATM safe when hand over her/his duty.
e) Changes the vault combination code to mitigate unforeseen events
periodically.
In case of the dual lock is two physical keys the procedure stated above shall
apply for senior customer service officer cash, too.
a) Receives the vault key against her/his signature on the Key register. If the
vault is a new one the duplicate key must be submitted to district
operation manager as a reserve;
b) Transfer of Key from one customer service Manager to another must be
handled by handing and taking key registration and signing on it.
a) Vault Cash counting shall involve the concerned taking over and handing
over staff member/s in addition to the remaining dual custodian/if any
b) Cash working paper sheet which display all the cash in vault shall be filled
and signed by the taking and handing over staff members
c) The senior branch controller /branch controller shall witness the counting
and proper handing and taking over cash as per this procedure ;and
d) Combination keys shall be changed and proper handing and taking over
strong room keys shall be performed per the procedure.
a) Monitors ATM cash status, and ensures timely cash lodgment to the
ATMs.
b) Ensures cash replenishments on holidays, weekends and working hours.
c) Opens the ATM door and return the switch to out-off service mode
(supervisory mode)Jointly with The Senior Customer Service Officer-
Cash;
d) Loads the pre-counted cash on each cassette type, in accordance with a
breakdown thereof in denominations, and ensures that the correct
denominations are in the correct cassette and then return the cassette to
its proper position Jointly with Senior Customer Service Officer-Cash.
e) Inputs the correct loading for each cassette in the ATM (monitor)
f) Checks and monitors ATM cash balance from the ATM cash Account to
replenish it before it gets totally depleted.
g) Arranges and schedules for cash reloading in weekend and holiday.
h) Balances the Cash in the ATMs before reloading.
i) Checks the status of the rejected cassette/purge bin and take appropriate
action and exits from the supervisory mode.
j) Puts the ATM into its normal positionthat is, where it says ATM in
Service.
k) Ensures whether all the keys are locked before leaving the area.
l) Posts the cash loading amount by front in SYSTEM, if loading falls on
weekends or holyday the transaction shall be posted on the next working
day, but the loading ticket shall be kept in the vault until posting.
d) input the correct loading for each cassette in the ATM (monitor),
e) Ensure the status of the rejected cassette/purge bin and exit from the
supervisory mode.
f) Put the ATM in to its normal positionthat is, where it says ATM in
Service.
g) Ensures whether all the keys are locked before leaving the area.
h) Ensures the customer service officer-maker posts the cash loading
amount in System, if loading falls on weekends or holyday the transaction
shall be posted on the next working day, but the loading ticket shall be
kept in the vault until posting.
a) Makes a surprise check the balance of ATM Cash and the balance on ATM
account.
n) Shall avoid frequent opening of the vault by working with all those
concerned in a more concerted manner so as to be able to determine the cash
requirement for the days operations.
a) Make it a point to always concentrate only on what you are doing while
counting, receiving and paying cash;
b) Be fully aware of security requirements at the branch level and make it a
point to strictly comply with all the security-related regulations;
c) You should always keep cash and cashed items only in lockable
drawersnot in shelves or elsewhere;
d) Do away with the practice of recording cash denominations after the
payment has been effected;
e) You must always keep in mind that cash-related items such as vouchers,
cheques, payments and receipt instruments are almost as good as cash;
f) Avoid putting initials/signing on notes wrappers before the cash has
been wrapped, and shred all wrappers that bear the initials of the
Customer Services Officer, whenever you find them;
g) Never forget to lock the drawers wherein you stash up cash whenever
you have to leave the cash area and after office hours;
h) Before you leave the premises for lunch, balance your cash, ascertain the
correctness of the amount thereof and hand it (the cash in your
possession) over to the Senior Customer Services Officer and lock the
drawers;
i) Count all the cash taken from the Senior Customer Services Officer
(mandatory especially in the case of Birr 50 and Birr 100 notes) before
delivering it to the customers of the Bank;
j) One should always give slit/opened wrapped notesespecially Birr
notes of big denominations to the customers of the Bank;
k) Remind customers of the need for carefully counting the cash given to
them before leaving the cash counter;
l) Avoid talking while counting cash, so as to prevent making any errors;
l) If and when the customer changes her/his mind regarding the cash
denominations during payment, do not try to attend to her or his request
up until you have given her/him the cash as per her/his earlier
preference;
m) While exchanging money notes (from one currency to another), do not
remove the cash presented by the customer from the counter until you
have made sure that she or he has fully agreed to proceed with the
exchange;
n) Before effecting payment thereof, always make sure that the value of the
check has been debited from the appropriate account.
o) When crediting customer account make sure that the amount is collected
and the appropriate account credited.
p) Exchange of birr notes between Customer service officers is not
permitted.
unnecessary commotion.
h) While on duty, Customer Services Officers are not allowed to leave their
windows under any circumstances or to be engaged in long conversations
with other Customer Services Officers or with the customers of the Bank
across their partitions.
i) Nobody should be admitted into the windows of the Customer Services
Officers. And no unauthorized person should be allowed to enter the Cash
Office at any time. Since all cash-related work requires maximum care
and accuracy, nothing that could disrupt the attention of the Customer
Services Officers should be tolerated in the cash area.
j) All staffs working in the cash area must be polite, courteous, attentive and
respectful toward the customers of the Bank. Proper information must be
given out in response to the inquiries coming from customers. If the
Customer Services Officer is uncertain about the inquiry forwarded to her
or him by a customer, she or he should direct the customer to the
pertinent person or Supervisor.
k) Since there is no insurance coverage for the excess cash over and above
the approved limit, Customer Service Manager and the Senior Customer
Services Officer should make sure that the branchs cash-holding limit is
within the approved limit.
a) To change the date on the cash stamp of the branch on a daily basis;
b) To concentrate on the work at hand even on relatively quiet days;
c) To check properly signatures, ID cards, posting, approval and the
sameness of the amount of money given in both words and figures;
d) To accurately write the denominations of the cash paid to the customers
of the Bank on the cash-payment instruments and to verify the
CATS Procedure | 206
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Accepts checks from branches and foreign transfer and NRNT accounts
for clearance, together with OBP/OBC ticket;
b) Makes sure that the check has been properly presentedthat is, makes
sure that the date on which the check was issued and the name of the
payee/beneficiary appear on it and that it was properly endorsed and
that the amount of money given in words agrees with that given in
figures;
c) Segregates the checks by the drawee bank and/or by currency and sends
them to the Checker so that she or he will in turn send them to the
correspondent banks with an instruction for settlement;
d) Receives back the check from the Senior Customers Accounts and
Operations Officer and creates the transaction to post to the concerned
branches/foreign transfer and NRNT accounts through the online system;
and
e) Prepares signs and makes settlement and single entries.
a) Receives from the Maker the checks with an instruction for settlement
and co-signs on the tickets;
b) Rechecks the full particulars of the check and the preparation of the
instruction for settlement and sends the check to the correspondent
bank;
c) Checks and sends the transaction to the concerned branch so that it will
credit, through the online system, to the customers account; and
a) Logs on to T-24, enter in to Fund transfer Menu and opens incoming MT-
103 (SWIFT Message) Hold menu;
b) Posts the transaction to the proper account by referring the MT-103
a) Open the money transfer application form and then makes sure that the
data or information has been entered into the system properlyfrom the
source document (i.e., checks the message on SWIFT); and
b) Forwards the source document and the standard SWIFT message format
to the Checker for authorization.
a) Receives the source document from the Maker, together with the
standard SWIFT-message format, and then makes sure that the data or
information has been entered into the system properlyfrom the source
document; and
b) Authorizes the message to be sent via SWIFT to the correspondent bank.
a) Authorization limit mentioned above under sub article 8.1 of this procedure
shall be applicable to all transactions allowed to be processed through inter
branch transaction using the network system.
transactions. And, in order to check and thereby make sure that the inter-
branch accounts have been reconciled to each other.
a) Collection service from clients customer of the high valued customers of the
particular site could be in the following forms;
1. In the form of cash;
2. Cheque deposit;
3. Account to account transfer; and
4. Through POS machine.
h) The district shall select the appropriate branch to provide the service
considering the proximity to high value customers premises, human and
other resources ;
i) The service shall be provided for high value customer requesting the service
by considering the customers strategic relationship with bank, volume of
sales &foreign currency earning .
j) When there is need for cross-district integration to provide cash pick up
service the request of client and the recommendations of the district shall
submitted to V/P CATS for approval, communication and coordination
a) Receives the cash along with the bank deposit slip signed by the
passenger/client/customer of the high value customer and other
supplementary client document prescribed by high valued customer and
agreed with bank.
b) Ensures that the amount of money given in both words and figures is the
same as that are filled on the deposit voucher by the passengers;
c) Counts the cash by comparing it with the denominations written on the
bank deposit slip;
d) Credits the high valued customers account by integrating the name of the
depositor and other reference prescribed by high valued customer, if the
collection of cash to be deposited is within her/his discretionary limit.
Otherwise, dual authorization shall be requested from the concerned
CSO-checker
e) Collects service charge as per the banks terms and tariff;
f) Prints the deal slip and provide a receipt to the passenger/clients
customer affixing the Customer Service officer -Maker stamp as an
acknowledgement of cash receipt. And credit advice to the client as a
bank deposit.
a) Monitor the overall cash balance on Customers Service officers till and
take appropriate action to always maintain cash limit;
b) Ascertains the correctness of the cash balance and collects cash from the
Customer Service Officer - Maker at clients site by authorizing on the
system as confirmation of receiving ;
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
c) Ensures no cash shall left in the safe of Customer Service officer Maker
at clients office except Sundays and holidays;
a) Receives the cheques and the tickets from the Customer Service Officers
at clients site by counting the number of tickets and the total amount the
ticket represent;
b) Checks the proper presentation, authenticity and completeness of the
check that is, makes sure that the date on which the cheque was issued,
the name of the beneficiary thereof, its endorsement, the amount of
money in both words and figures and the signature of the beneficiary
appear on it;
c) Checks for proper posting of transactions in the system;
d) Keeps such instruments and tickets under her/his custody
a) Inserts or swipes the passenger/ client customer card to the chip slot or
reader slot of the POS;
b) Selects the services and enter the amount of cash;
c) Requests the passenger/ client customer to enter her/his PIN (Personal
Identification Number) for validation if the POS requests PIN otherwise,
take the card as PIN less;
d) Prints the transaction receipts in two copies one for customer advice and
the other as source document, after getting the authorization for the
transactions;
e) Requests the customer to put her/his signature on the receipts produced
by the POS terminal;
f) Checks the signature on the card with the signature on the transaction
receipt;
g) Gives one receipt to the passenger/ client customer as evidence of the
transaction.
a) Prints the daily summary and detail report using POS terminal;
b) Processes end of day tasks (data capture) using POS terminal on or before
the client closing hour every day, to ensure settlement for transactions and
balance of daily cash transaction
c) The District manager shall approve and concluded an agreement for cash
pick up service of a particular customer to ensure the overall service
provision and internal control;
d) The district operation manager /district manager shall avail the necessary
vehicle and escort for the cash pick up services; and follow-up the service per
the contractual agreement.
e) The district shall select the appropriate branch to provide the service
considering the proximity to high value customers premises ,human and
other resources ;
f) The service shall be provided for high value customer requesting the service
by considering the customers strategic relationship with bank, volume of
sales &foreign currency earning .
g) When there is need for cross-district integration to provide cash pick up
service the request of client and the recommendations of the district shall
submitted to V/P CATS for approval, communication and coordination.
a) Receives the cash along with the bank deposit slip designed for off-branch
cash collection (refer CBECATS111) signed by the representative of the
customer ;
b) Ensures that the amount of money given in both words and figures is the
same as that are filled on the deposit voucher and the cash deposit ;
c) Counts the cash by comparing it with the denominations written on the
bank deposit slip;
a) Ascertains the correctness of the cash balance against the system and
collects cash from the customer service officers;
14. REPEAL
The CATS procedure approved on April 2012 and other procedures,
recommendation and communication that contravene with issues and process
included in this procedures are repealed and replaced by this procedure.
16. EXCEPTIONS
This procedure manual shall cover the majority of all activities, duties and
responsibilities of all staffs in the CATS process. There may be, however, in rare
circumstances activities may not conform to this procedure manual. Therefore, such
related activities to be made by exceptions shall be approved by the next higher
authority level by writing the word OK and signature.
Bekalu Zeleke
______________________________
December 2016
ANNEXES
ANNEX 1: The Documents Required by the Various Institutions
of both the Federal and Regional State Governments
1. Ministries, bureaus and other departments of the federal Government can open
and operate bank accounts as per the instruction and authorization letter of the
Federal Ministry of Finance and Economic Development.
5. The bank account of any federal government institution can be operated only by
the top official of the institution, of the department, etc., or by her or his
delegate.
6. Any withdrawal of money from the federal Government account shall be made
by two signatures of the authorized or delegated persons.
7. Federal Government Ministries, bureaus and other departments may open the
under-listed bank account as per the authorization of the federal Ministry of
Finance and Economic Development either at the NBE or at other banks
designated by it (the NBE) for the purpose.
1) The authority to open and operate accounts of the regional state governments
derives from the federal Ministry of Finance and Economic Development, or
from one of its finance bureaus.
2) Although these accounts may be operated by the officials of these organs, the
balance remains subject to recall by the federal Ministry of Finance and
Economic Development, or by any of its finance bureaus.
CATS Procedure | a
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
3) The regional state governments will have, or may open, the following account
CATS Procedure | b
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
TYPE A ACCOUNTS
It is a type of account, which may be opened for the projects whose activities are
carried out financed by foreign or international aid. Such an account is also opened
when the aid agreement dictates the opening of a bank account.
TYPE B ACCOUNTS
It is a type of account, which may be opened for allocation of budgets from the central
Treasury for the purpose of fixed and capital expenditure.
TYPE C ACCOUNTS
It is a type of account, which may be opened in the name of the central Treasury of the
federal Ministry of Finance and Economic Development.
TYPE D ACCOUNTS
It is a type of account, which may be opened by a court order or as per the instruction
of the concerned federal government institution as deposit.
TYPE F ACCOUNTS
It is a type of account, which may be opened for the purpose of funds established by
proclamation outside the general funds legally authorized.
TYPE L ACCOUNTS
It is a type of account, which may be opened for projects whose activities are carried
out financed by a foreign loan, on the strength of the loan agreement.
CATS Procedure | c
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
It is a type of account, which may be opened in a foreign currency, if the aid given or
the loan advanced is in a foreign currency and requires the opening of a special
account.
If the aid given or the loan advanced is in USD, a special foreign-currency account, S1,
shall be opened. If the aid given or the loan advanced is in other currencies, however, a
special foreign-currency account, S2, shall be opened.
The federal government institutions, departments, etc., shall present to the CBE a
written request and the following documents for the opening of the accounts described
herein above either in their own names or in the names of others like them.
1. State in the letter of request the reason for opening a bank account;
2. State clearly in Amharic and English the name of the account, the name of the
branch where the account is to be opened and the names of the persons who
are authorized to operate the account;
3. State clearly the duration of the project, if the newly opened account is for a
project whose activities are carried out or undertaken financed by aid or a loan;
and
4. Produce/present to the branch a digital photocopy of the loan contract or of the
aid agreement, if the newly opened account has any connection with aid or loan.
The letter of request for opening a new account shall be signed by the top
officials of the federal Government or by their delegates.
CATS Procedure | d
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
The order of the Mayor or of the Deputy Mayor of the Administration is required.
Sub-City Administrations
A letter that discloses the names of the persons authorized to operate the account
and signed by the officials as stated above has to be submitted.
Kebele Administrations
A joint instruction from the Chief Executive Officer and the Head of Economic
Services of the sub-City in which the concerned Kebele administration is found is
required.
Only the Mayor of Addis Ababa has the power to decide who should be authorized to
operate the accounts of the sub-City Administrations. So her/his instructions are
required in this regard.
The authority to open and operate an account in the names of these municipalities is
derived from the Mayor of the capital of the regional state or from the Head of its
Urban Development and Housing Office. In either case, the regulation that
established them should be carefully and closely consulted before any account is
opened.
CATS Procedure | e
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
NOW, THEREFORE, the National Bank of Ethiopia has issued these Directives
pursuant to the authority vested in it by Article 27(2) of National Bank of Ethiopia
Establishment Proclamation (as amended) No. 591/2008.
1. Short Title
2. Definition
CATS Procedure | f
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
2.5 delinquent list means a record maintained at the National Bank and
each bank Containing detail information about a cheque dishonored for the
third time reported by the drawee;
2.6 dishonored cheque means a cheque drawn without sufficient fund cover
in the account and is rejected by paying bank for this reason;
2.8 drawer means a cheque account holder who signs on a cheque giving an
order to his bank to pay the amount specified therein to a payee using finds
in his cheque account maintained in the bank;
4. General Requirements
4.1.1 verify that the name of a person requesting to open the cheque account
does not appear in delinquent list
CATS Procedure | g
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
4.1.3 inform its customer about the use and purpose of cheque account,
cheque, and the consequences of misusing them and
4.1.4 Include in the cheque account opening agreement a clause about the
measures that shall be taken when there is misuse of cheque in
accordance with these directives and the banks internal policies and
procedures.
4.2 If a person has multiple cheque accounts in various branches of a bank, the
bank shall aggregate all the cheque accounts in its branches and treat them
as a single account for purpose of closing the cheque account.
4.4 Without prejudice to the generality of sub-article 4.1 of this article, a bank
shall develop and put in place its own internal policies and procedures on
proper operation of cheque.
5.1.1 Upon dishonoring a cheque drawn by a drawer for the first time any
period after opening of a cheque account in line with article 4 of these
directives, the bank shall:
a) record the incident for the first time in the Dishonored Cheque Register;
and
CATS Procedure | h
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
b) block all debit (outgoing) transactions against this account until the
dishonored cheque is fully paid to the payee or equivalent amount is
blocked pending the payment to the payee.
5.1.2 An account holder whose incident has been recorded in the Dishonored
Cheque Register in line with 5.1.1(a) hereinabove but who has fulfilled all
obligations related to dishonored cheque which includes full settlement
of the claim or blocking of equivalent amount and has not drawn other
dishonored cheques for the second time at least for 12 consecutive
months following such registration, may be deleted from such register
and be considered as clean.
5.1.3 All dishonored cheques presented to a bank before deleting the name of a
drawer from the Dishonored Cheque Register in line with 5.1.2
hereinabove shall be treated as the second and third time dishonored
cheques, even if two or more cheques have been presented at a time or
simultaneously by the same payee.
5.2.1 Upon dishonoring a cheque drawn by a drawer for the second time within
12 consecutive months following the date of presentation' of the
dishonored cheque to the bank for the first time under 5.1.1 hereinabove,
the bank shall:
a) record the incident for the second time in the Dishonored Cheque
Register
b) block all debit (outgoing) transactions against this account until all
the cheques which have been dishonored & registered under 5.1.1(a)
5.2.1(a) hereinabove are hilly paid or equivalent amount is blocked
pending the payment to the payee(s); and
CATS Procedure | i
COMMERCIAL BANK OF ETHIOPIA December 1, 2016
5.2.2 An account holder whose incident has been recorded in the Dishonored
Cheque Register in line with 5.2.1(a) hereinabove but who has fulfilled all
obligations related to dishonored cheques which includes full settlement of
the claims or blocking of equivalent amount and has not drawn other
dishonored cheques for the third time at least for 24 consecutive months
following the date of presentation of the first dishonored cheque to the bank,
may be deleted from such register and be considered as clean.
5.2.3 A dishonored cheque presented to the bank before deleting the name of the
drawer from the Dishonored Cheque Register in line with 5.2.2 hereinabove
shall be treated as the third time dishonored cheque.
a) record the incident for the third time in the Dishonored Cheque
Register
c) keep the cheque account of such person closed at all its branches.
5.3.2. A bank shall deny service of cheque account operation using a cheque to a
customer whose name has been circulated by the National Bank in line
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
5.4.1. if the drawer presents the dishonored cheques to the bank or the
payee(s) may appear in person to the bank and confirm in writing that
the dishonored cheques have been fully settled in the form prescribed
under Annex-I of these directives or
5.4.2. if the payee(s) fails to appear to receive a full payment after lapse of six
months of presenting the dishonored cheque.
5.5. Notwithstanding provisions under 5.1.1, 5.2.1 and 5.3.1 hereinabove, a bank
may:
5.5.1 debit charges like legal, insurance, advertisement and such other non-
cash transactions against a blocked account and
5.6. Deletion of a drawers name from Dishonored Cheque Register in line with sub-
articles 5.1.2 and 5.2.2 of this article shall be subject to quarterly internal audit
of the bank.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
5.7. Cheques dishonored before the effective date of these directives shall be treated
as first, second and third time dishonored cheques, as the case may be, and
fulfill all requirements set in these directives, respectively.
6.1 A bank may not accept a stop-cheque-payment order request of a drawer with a
mere purpose of evading the punishments stipulated under article 5
hereinabove of these directives.
6.2.1 the request was made at the moment when the cheque account of the
drawer was not covered with sufficient funds to satisfy the claim of a payee
as was written on a specific cheque at the issuing and/or presenting dates
for payment and
6.2.2 the drawer fails to produce police evidence within 15 working days
following the date the cheque was presented for payment to prove the
stop-cheque-payment order was in fact requested as the cheque was lost or
stolen.
6.3 Except as established otherwise under sub-article 6.2 hereinabove, a bank may
not consider whatsoever reason as valid autonomous ground to accept or reject
cheque-payment order of the drawer
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
6.6. The National Bank and all other banks shall maintain the delinquent list
name of a cheque account holder which has been circulated by the National
Bank to the banking industry when a cheque which has been drawn by a
drawer is dishonored for third time.
7. Conditions for Deleting the Name of a Drawer from Delinquent List and
Reinstatement
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
7.1.2. the drawer shall present satisfactory evidences that all cheques which
have been, dishonored& registered under sub-articles .5.1.1(a),
5.2.1(a) and .5.3.1(a) of these directives are fully settled or produce a
letter from the bank which indicates equivalent amount of funds have
been blocked pending the payment to the payee(s). Under such
circumstance, a call to collect the stated money within the specified
date and bank shall be made by the drawer ,as his own cost ,to the
payee in widely circulating newspaper at least once per week for
three consecutive weeks; or if the drawer is unable to trace the
whereabouts of the dishonored cheque/s which have been registered
under sub-articles 5.1.1(a), 5.2.1(a) and 5.3.1(a) of these directives
after full settlement of the cheque value to the payee(s), the payee(s)
may appear in person to the National Bank and confirm in writing
that the dishonored cheque have been fully settled in the form
prescribed under Annex -I of these directives or keep equivalent
amount in a blocked account pending a call to collect the stated money
within specified date and bank to be made by the drawer, at his own
cost, to the payee in widely circulating newspaper at least once per
week for three consecutive weeks
7.1.3. the drawer shall produce a letter from his bank that amount of
penalties charged in line with article 5 of these directives have been
fully settled;
7.1.4. the drawer shall file a written application with the National Bank,
with a copy to the Federal Police Commission, attested by an oath to
indicate his intention and commitment to use a cheque in operating
his cheque account honestly and carefully in the future and
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
7.2. A bank shall provide cheque account service to the person whose name
has been deleted from the delinquent list in line with the preceding sub-
articles of this article.
7.3. The National Bank and each other bank shall maintain a separate register
for the names of persons deleted from delinquent list.
7.4. If the payee fails to appear and collect the funds blocked under 8.1.2 or
8.1.3 hereinabove after specific date stated in a newspaper call made in
line with the same sub-articles, the bank may unblock the account and
make the funds available to the drawer.
8.1.1 the person shall file a written application with the bank that initially closed
the cheque account in the form prescribed under Annex-111 of these
directives, with a copy to the National Bank, Banking Supervision
Directorate
8.1.2 within 10 calendar days of receiving the written application under 9.1.1
hereinabove, the bank shall produce satisfactory evidences that assure
whether the closed account is of the person or not to the National Bank,
Banking Supervision Directorate
8.1.3 the National Bank, upon receiving satisfactory evidences in line with 9.1.2
hereinabove, shall allow a bank to open new cheque account if the closed
account is not of the person and circulate same to the banking industry,
with a copy to the applicant and
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
8.1.4 A bank may open a cheque account in line with sub-article 4.1 of these
directives to a customer whose name. Has been circulated by the National
Bank in line with sub-article 9.1.3 hereinabove.
9.1 A bank shall send a report to the National Bank, Banking Supervision
Directorate, regarding customers whose cheque accounts are closed in line
with sub-article 5.3.1(b) of these directives in the form prescribed under
Annex-IV, on the following five working days from the date of such closure.
9.2 The National Bank shall compile the reports received from banks in line with
the preceding sub-article of this article and circulate same in the banking
industry, with a copy to the Federal Police Commission.
9.3 The National Bank shall also circulate to the banking industry the name of
cheque account holder deleted from the delinquent list in line with sub-
article 8.1 of these directives.
9.4 A bank shall circulate reports received from the National Bank in line with
sub-articles 10.2 and 10.3 hereinabove to all its branches within three
working days from the date of receiving such reports with a copy to the
National Bank, Banking Supervision Directorate.
9.5 A bank shall also circulate name of a drawer who has been recorded in the
Dishonored cheque Register in line with sub-articles 5.1.1(a), 5.2.1(a) and
5.3.1(a) of these directives at the end of every month to all its branches in the
form prescribed under Annex-V to update respective branches database.
10 Repeal
11 Effective Date
These Directives shall enter into force as of the 1st day of December 2016
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
TEKLEWOLD ATNAFU
GOVERNOR
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
General
CATSs CPC shall be the single point of contact for the ECX to open an account. An
Account-Clearing and Settlement Team will, therefore, be formed at a branch of
the CBE where the ECX settlement account is maintained. The Team will
comprise as its members a Maker and a Checker and be responsible for handling
the day-to-day operations and transactional instructions of the ECX.
The account shall be opened for any member of the ECX who is not barred from
owning and operating bank accounts by the National Bank of Ethiopia due to
mal-operation.
The ECX-related accounts to be opened are the following:
a. An ECX-settlement account;
b. Member pay-in;
c. Member pay-out (this could be an existing account);
d. Member clearing pay-in (if a member clears pay-ins for a non-clearing
member)
e. Client pay-in (if a member acts as an intermediary to other clients);
f. Client pay-out (if a member acts as an intermediary to other clients);
g. Member clearing pay-out (if a member clears for others);
h. Limited member pay-out (this can be an existing account);
i. Limited member client pay-out ( if a limited member acts as an
intermediary); and
j. Correspondent settlement bank accounts for the ECX (for inter-bank
transfers):
1. Correspondent
2. Mirror (mirror of own account in a correspondent bank).
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
The accounts mentioned above shall be created in any branch of the CBE that is
electronically networked to its (CBEs) core banking database, except the limited
member pay-out account and the limited member client pay-out account, which
can be created even in a non-networked branch. The member and member client
accounts can be opened in branches other than where the ECX-settlement
account is opened.
5. CATSs CPC instructs the selected branch to open the ECX-member type
account.
6. The member shall present a power of attorney, giving the sole right of
debiting the pay-in account, prepared in four copies, to the Exchange, which
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
1. The Settlement Team shall accept instructions, process them and send its
responses thereto electronically every working daythat is, Monday
through Fridayin the following manner:
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
2. The Settlement Team shall accept the electronic data that constitutes the
instruction given by the Exchange, via the primary and backup delivery
channels as follows:
The Team shall, however, accept the data in any other form, if the ICT
system fails.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
instructed to settle.
7. Under no circumstances may the Team refuse to process a debit instruction
on a member, client or on a clearing pay-in account, if the branch had by
10.00 AM the previous working day given the Exchange a balance greater
than or equal to the amount of money in the debit instruction so that the
amount of funds in the pay-in account would not be less than the balance that
the Bank had confirmed to the Exchange.
8. Every month, the Team shall send electronic bank-account statements for
member pay-in and clearing pay-in and member client pay-in and client pay-
out accounts.
9. If the Exchange requests for an additional account statement, nonetheless,
the Exchange shall be charged as per CBEs Terms and Tariffs.
3. ECX-Related Accounts
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
ii. Member for Client Pay-in (to ECX) Optional for trading on behalf of
clients
iv. Member for Client Pay-out (from ECX)- Optional for trading on
behalf of clients
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
vi. Limited member client pay-out (from the ECX)mandatory for a limited
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
The ECX transfer from the Deposit Fund (the Settlement Guarantee Fund) to the
ECX-Settlement Account will take place when the ECX lodges a request thereof, in
writing, signed by two of the signatories of the ECX-Settlement-Guarantee-Fund
account. The Bank, for its part, must immediately process the request and confirm to
the Manager of the Clearing House when this has been completed, but no later than
10:30 AM.
The Bank should, on a daily basis, inform the ECX of the balance of the Settlement-
Guarantee-Fund account via the electronic network that connects the ECX with the
data center of the Bank.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
Now, therefore, in accordance with Articles 6 and 61 of the Monetary and Banking
Proclamation No. 83/1994, the National Bank of Ethiopia hereby amends Directive
No. FXD/25/2004 issued for the opening and operation of foreign-currency
accounts for non-resident Ethiopians in domestic commercial banks.
Article 1
Definitions
For the purpose of this directive, unless the context provides otherwise, 1.1 Non-
Resident Ethiopians shall mean:
a) All Ethiopian nationals who have lived abroad for more than one year;
b) Business entities owned by non-resident Ethiopians and located outside the
Ethiopian territory for more than one year;
c) Ethiopian nationals living and working abroad, or are in the process of leaving
Ethiopia to live and work abroad for more than one year, and can produce
authenticated documents to that effect.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
Article 2
Eligibility Criteria
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
a) Application forms properly filled out and signed by the account holder;
b) For individuals, a valid passport and/or an identification card showing that
the applicant is a foreign national of Ethiopian origin; and
c) For businesses, a certificate of ownership or entitlement, and for an
organization, an Article of Association and a Memorandum of Association.
2.3 Applicants who could not be physically present to open the NR account in the
domestic banks shall use the Ethiopian embassies, correspondent banks or
nearby remittance-service providers to validate their identities.
Article 3
Opening Foreign Currency Accounts
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
withdraw from these accounts for the purposes enumerated in Article 7.1 of
this directive, in addition to investment purposes, provided that the document
explicitly empowers them to operate the accounts.
3.6 The minimum amount required for an initial deposit to open a demand deposit
account shall be USD 100.00 (one hundred) or its equivalent in any of the
eligible currencies mentioned under Article 5(5.1) of this directive.
3.7 The minimum amount required in an initial deposit to open a fixed deposit
foreign-currency account shall be USD 5,000.00 (five thousand) or its
equivalent in any of the eligible currencies mentioned under Article 5(5.1) of
this directive.
3.8 The maximum amount to be deposited in current accounts shall be USD
50,000.00 (fifty thousand).
3.9 Two or more eligible joint depositors may, together, open a single account.
3.10 An individual may open a demand deposit account in only one of the
domestic banks, whereas she/he may open fixed deposit accounts in more
than one bank.
Article 4
Types of Permitted Accounts
Commercial banks may open the following types of non-resident foreign currency
accounts:
a) Fixed-time deposit accounts, which take the form of a deposit certificate, issued
in the name of the depositor. The maturity period may vary, based on the
agreement reached between the depositor and the opening bank. The minimum
maturity period for such an account shall, nevertheless, be three months.
b) A current account, which takes the form of a current deposit where withdrawals
may be made at any time upon demand by writing a cheque and/or by following
a pre-arranged procedure adopted by the opening bank.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
c) A non-Repatriable Birr account, which may take the form of a savings deposit
that can be used for local payments only.
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[COMMERCIAL BANK OF ETHIOPIA] December 1, 2016
Article 5
Types of Currency
5.1 Banks are required to maintain foreign-currency accounts only in the following
types of currency:
a) The US dollar;
b) Pound Sterling; and
c) Euro.
5.2 Banks may accept deposits in other convertible currencies that include the
Canadian dollar, the Saudi riyal, the Japanese Yen, the Australian dollar and
UAEs dirham. These currencies shall then be converted to any of the three
currencies enumerated herein above under Article 5.1 at the spot exchange rate,
based on the preference of the account opener.
Article 6
Crediting the Account
a) Direct crediting of the account from foreign sources through the banking
system;
b) Travelers cheques brought by the account holder from abroad;
c) Money notes, provided that the account holder presents a signed and sealed
foreign-currency declaration form if it is above 3,000.00 US dollar from the
Ethiopian Customs Authority;
d) Cheque deposits that originate abroad;
e) A transfer from another type of non-resident foreign-currency account
owned by individuals and/or enterprises; and
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
Article 7
Use of the Account
7.2 Current accounts may be withdrawn against a cheque written and a withdrawal
slip, or according to any other pre-arranged procedure.
7.3 The bank maintaining these accounts shall allow repatriation abroad of the
deposits opened in any of the accounts mentioned under Article 4 a and b of
this directive upon request by the account holder.
7.4 Repatriation of the deposits shall not exceed the initial balance plus any interest
receipt on the deposit amount.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
Article 8
Closure of the Account
Article 9
Interest Rates
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[COMMERCIAL BANK OF ETHIOPIA] December 1, 2016
Article 10
Issuance of Certificates
10.1The opening bank shall issue to the depositor a fixed-time deposit certificate in
her or his name, if the account opened is a fixed-time deposit account.
10.2The interest rate that the opening bank agrees to pay shall be clearly stated on
the deposit certificate.
10.3 For a current account, the opening bank shall issue to the depositor a cheque
book or advice notifying of the opening of the account.
10.4 In the case of Article 3.2., the certificate of deposit (CD) or cheque book may be
kept in the custody of the opening bank, whereas a certificate of custody shall
be issued to the depositor or the deposit book may be mailed to the depositor, if
she/he wishes so.
Article 11
Conversion of Non-Resident Foreign-Currency Accounts To
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[COMMERCIAL BANK OF ETHIOPIA] December 1, 2016
Converted to residents Birr accounts by the bank that maintains them (the
accounts) at the prevailing inter-bank exchange rate; or
11.2 In the case of a fixed-time deposit, the account may remain as a non-resident
foreign-currency account, if the account holder returns to Ethiopia to settle
permanently before the maturity date of the account. Upon maturity of the
account, however, such accounts should be converted to resident Birr
accounts.
11.3 The provision of Article 7.1 (e) of this directive shall be applicable, if the
account holder requests that it be made applicable.
Article 12
Prohibitions
12.1 Foreign exchange acquired either from foreign-exchange bureaus or any
other local sources or foreign exchange shall not be used to credit and/or
open a foreign-currency account.
12.2 Banks shall not honor a cheque drawn or endorsed by a non-resident foreign-
currency account holder in favor of a resident who does not hold a similar
non-resident foreign-currency account.
Article 13
Obligations of the Opening Bank
13.1 The bank where a foreign-currency account has been opened has the
following obligations:
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
Research and Monetary Policy Directorate of the Bank based on the pertinent
format; and
c) At the close of each business day, the foreign-currency position of all such
accounts opened in a bank shall not exceed 15% (fifteen percent) of its total
capital as per the provisions of Directive No. SBB/23/97.
Article 14
Provision of Incentives
14.1 The deposit account can serve as collateral to get credit in local currency
from domestic banks, in line with the credit policy of the bank where the
account is opened.
14.2 The interest income from non-resident foreign-currency fixed-time deposit
accounts shall be free from income tax.
14.3 In addition to the above incentives, banks shall create an environment that is
conducive to the holders of such accounts as follows:
14.3.1 Banks shall provide the account holder with a statement of the account
every month;
14.3.2 Banks shall create a test-key so that the account holder can order
withdrawals and/or any local payments;
14.3.3 Banks shall credit interest to such accounts at least on a quarterly basis;
14.3.4 Banks shall create a mechanism whereby the account holder can give a
standing authorization to the opening bank for permanent payments; and
14.3.5 Banks shall clearly list out their correspondent banks or agents in various
overseas centers, which are in operation of foreign-currency accounts, so
as to enable non-resident Ethiopians to easily contact them.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
Article 15
Inspection
The Bank may inspect any of the banks where such accounts are opened at any time
and thereby make sure that the provisions of this directive are being complied to.
Article 16
Penalties
16.1 A bank that violates any of the provisions of this directive shall be penalized,
in accordance with the Licensing and Supervision of the Banking Business
Directive non.SBB/27/2001.
16.2 Any bank that fails to comply with the reporting requirement specified under
Article 13.1 (b) shall pay a penalty of Birr 1,000.00 (one thousand) per day of
delay. The penalty so assessed will be automatically deducted from the
banks account maintained with the NBE.
16.3 Where an account holder violates the provisions of this directive, the bank
where the account is opened may suspend the account and immediately
report the case to the Bank.
Article 17
Repeal
The regulation related to the opening and operation of foreign-currency accounts
for non-resident Ethiopians and non-resident foreign nationals of Ethiopian origin
issued under directive No. FXD/25/2004 is hereby repealed and replaced by
Directive No. FXD/31/2006.
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COMMERCIAL BANK OF ETHIOPIA December 1, 2016
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[COMMERCIAL BANK OF ETHIOPIA] December 1, 2016
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