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Microlending Act, 2018 (No. 7 of 2018).

Country/Territory
Namibia
Document type
Legislation
Date
2018
Source
FAO, FAOLEX
Original source
Published in Government Gazette no. 6664 on 31 July 2018.
Long title
An Act to regulate the carrying on of microlending business in Namibia; to establish an effective and consistent enforcement framework relating to microlending; to promote responsible borrowing and lending; and to provide for incidental matters.
Subject
General
Keyword
Financing Credit Smallholders/peasants
Geographical area
Africa, South Atlantic, Southern Africa
Abstract

This Act provides rules for the bussines of microlending, i.e. the business of advancing loans to borrowers in terms of microlending transactions (defined) as a regular feature. The objects of this Act are to - (a) foster - (i) the highest standards of business conduct by microlenders; (ii) fairness, efficiency, transparency and orderliness of the microlending industry; (iii) the protection of borrowers and the promotion of responsible borrowing and lending; (iv) the promotion of public awareness and understanding of the microlending industry; and (v) the reduction and deterrence of financial crime; (b) regulate and supervise the microlenders as provided for in this Act; and (c) ensure that microlenders comply with the relevant provisions of the Usury Act. A person needs to be registered with the Namibia Financial Institutions Supervisory Authority (NAMFISA) in order to legally conduct the business of a microlender. The Act provides rules for the conduct of business and defines rights and obligations of borrowers. It also provides for supervision by NAMFISA.

Full text
English
Website
www.lac.org.na