For first time expats, moving into Mozambique can be a process as there are many aspects of daily life that we don’t really think of until we need to address them.
Banking services is certainly one of these aspects. From simple tasks such as everyday shopping to the sometimes-new habit of managing different currencies, there is certainly a learning curve to those moving to the “Land of good people”. For that reason, we teamed up with Millennium bim Bank, an institution we are very familiar with, to create a six-chapter series on the basics of banking in Mozambique to help you settle in. Welcome to Understanding – Expat Mozambique.
Chapter 3: How to transfer money abroad in Mozambique
We have already covered how to open a bank account both in local and foreign currency. However, one of the most common banking tasks expats tend to do is to transfer funds abroad.
Foreign currency operations are regulated by the Mozambican “Exchange Law” number 11/2009 (link in Portuguese), and there are a number of procedures you have to follow carefully in order to avoid penalties. However, if you are working with Millennium bim, this process should be simple, safe and very straightforward.
In order to transfer money abroad you need to gather the legal necessary documentation that would essentially justify the reason you are transferring money, show the origin of the money and prove that you are up to date with your taxes.
The most common reason to transfer money abroad is called “Ajuda Familiar” (“Family Assistance”). To transfer money under this type of operation, you will need to go to your Millennium bim branch and fill up a form called “Ordens de pagamento sobre o estrangeiro” (“Foreign Payment Money Order”), and provide the following documents:
- Certificate of Tax Payment/Discharge (Certidão de Quitação), which can be requested at the Tax Authority offices;
- Source of income, justifying source of funds;
- Your work contract duly endorsed or approved by the Ministry of Labour.
As this is one of the most common bank operations performed by expats, you can pretty much clarify any questions you may have with the help of your Millennium bim branch.
