Article 20 of the General Law of Commercial Corporations and Partnerships
Except for simplified joint stock companies, at least five percent of the net profits of any company must be set aside annually to form a reserve fund, until it amounts to one-fifth of the capital stock.
Paragraph amended by the Decree amending and adding various provisions of the General Law of Commercial Companies, published in the Official Gazette of the Federation on March 14, 2016.
The reserve fund must be reconstituted in the same manner when it decreases for any reason.