With globalization and international trade transactions, the concept of alternative payment services influenced by technology has given rise to Financial Technology in the CEMAC Region as well as remittance company operations with Cameroon as the pacesetter in Fintech intrusion in the CEMAC region.

Law firms in Cameroon have the responsibility to provide regulatory compliance and advisory with respect to these payment services in Cameroon and the financial sector.

These payment services as intermediary operators in the banking sector facilitating financial operations not just in cross-border transactions but in diverse financial operations.

Fintech in Cameroon and the CEMC region as well as remittance operations in the region are governed by CEMAC (BEAC) banking regulations as well as the CEMAC financial market (COSUMAF).

‍

How can I Register a Fintech or Remittance Company in Cameroon?

Registering a Fintech Company in Cameroon as well as a Remittance company in Cameroon is not different from establishing a company like any other in Cameroon.

Subject to regulatory compliance, obtaining the required licenses to operate Fintech in Cameroon as well as Remittance operations is what differentiates from other corporate entities in Cameroon.

That which is important in acquiring operating licenses for compliance;

Upon the creation of a fintech or remittance company in Cameroon, further obligations must be adhered to by these payment services from the Ministry of Finance for effective operation licenses.

Notwithstanding, where a Fintech or Remittance company is licensed abroad, such institution must be registered in Cameroon with the Trade & Personal Property Registry.

This Registration requires the procedure of company incorporation, tax declaration, and obtaining the required licenses in compliance with the CEMAC Banking regulations.

Tax Compliance for Fintech in Cameroon.

Like every other registered company in Cameroon, Fintech and Remittance companies must adhere to tax compliance in accordance with the Cameroon Tax Code.

This implies obtaining the company’s taxpayer subject to a certificate of non-indebtedness (good standing) as issued by the Directorate General of Taxation.

Importantly, FinTech and Remittance companies must keep up with their monthly tax declarations like every other corporate entity to constantly keep up to date with their tax records.

Invasion of taxes in Cameroon is punishable subject to penalties which could be fined or an imprisonment term.

Do Fintech and Remittance Companies Operating in Cameroon need Commercial Banks for regulatory Coverage?

Fintech and remittance companies operating in Cameroon and within any CEMAC member states must adhere to the Bank of Central African States (BEAC) banking regulations.

One such is the need for regulatory coverage subject to their commercial bank operations or transactions stemming from freedom of transfers, payments, and settlements of current transactions.

Regulatory coverage is mandatory for all Fintech and Remittance companies to operate accounts with any commercial bank of their choice carrying out their transactions.

Hence, the CEMAC regulation N° 02/18/CEMAC/UMAC/C/ of 2018 on Foreign Exchange provides for the freedom of transfers, payments, and settlement of current payment service companies such as Fintech and Remittances companies.

Individuals and corporate entities must therefore adhere to the conditions laid down by the above-mentioned regulation, which is supplemented by BEAC Circular LetterN°025/GR/2019 relating to the documentation to be provided by clients in other to operate a commercial bank account carrying out transactions.

In a bit covering internal compliances, banks have different internal mechanisms in place complying with these regulations for Fintech and remittance companies.  

Can I Obtain a license to Operate a Fintech or Remittance Company in Cameroon?

Yes, you can obtain your own license to operate remittance activities in Cameroon through an application addressed to the competent authority in Cameroon.

Such application shall be attached with the required documents as requested by the competent authority.

Is Cameroon Conducive for Financial Technology Operations?

Over time, this has been a question of power from most Fintech operators who are unaware of BEAC banking regulations subject to Fintech intermediaries’ operations.

Yes, FinTech operations are conducive not just in Cameroon but in the entire Central African Economic and Monetary Community.

In place, are CEMAC banking regulations creating a conducive and warm environment for FinTech companies to operate.

Establishing a Fintech company in Cameroon or within the CEMAC region is relatively important for operators to first understand the regulatory framework of operations via compliance.

That alone better understanding and appreciation of the Fintech environment operating in Cameroon and the region.

As earlier mentioned above the CEMAC financial market is one and has several banking regulations stemming from Electronic payments, Foreign Exchange, and payment services.

These all are in a bit to influence the regulatory framework of Fintech operations in Cameroon and the region.

The Role of Law Firms in Cameroon.

Law firms in Cameroon have a vital role to play when it comes to financial technology in Cameroon and the CEMAC region. As a leading FinTech law firm in Cameroon, providing legal services for FinTechs in Cameroon and Remittance companies, our responsibility stems from assisting our clients in the registration of Fintech and Remittance Companies, obtaining their taxpayers as well as facilitating and obtaining operation licenses for their activities in Cameroon.

We advise and guide our clients subject to regulatory compliances in FinTech and remittance operations in Cameroon likewise on issues of related interest.

As a leading Fintech Law Firm in Cameroon, our expertise and experience in Fintech is firsthand having assisted prominent Fintech companies in establishing in Cameroon.

Our legal services aim at assisting and guiding our clients in making the best possible decisions that would positively impact their activities in Cameroon.

For more details, feel free to reach out to us.

‍