Saint Lucia passes act to regulate banking sector

By GIS

GIS – Parliament passed the Banking Act at last week’s sitting of the House of Assembly.

Prime Minister of Saint Lucia and Minister for Finance, Hon. Dr. Kenny D. Anthony described the bill as one of the most dramatic pieces of legislation that will be enacted in the parliaments of OECS states to regulate the region’s banking sector.

According to Dr. Anthony, the bill will reduce government’s role in various aspects of the banking sector and in effect, make the industry more self-regulatory.

“The act makes it clear that the authority to grant a licence rests solely with the Central Bank. It’s not even a situation like in the old law where the authority rested with the Minister of Finance on the advice of the Central Bank. It’s reversed. The Central Bank is to make the decision about granting a license, and only has a duty to inform the Minister of Finance that an application has been made.”

The Prime Minister said the bill will have a major impact on how banks are supervised in the region.

“You will note, too, the corrective actions and strengthened powers of the Central Bank to intervene and offer greater supervision to bring about corrective actions when banks fail to reach or satisfy potential requirements or if there are regulatory violations.”

The Prime Minister also made note of future legislation which will address the issue of toxic assets in the banking industry.

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This article was posted in its entirety as received by stlucianewsonline.com. This media house does not correct any spelling or grammatical error within press releases and commentaries. The views expressed therein are not necessarily those of stlucianewsonline.com, its sponsors or advertisers.

3 comments

  1. So we should give the authority to regulate the banks to the ONLY central bank in the world which had lost money.

    ummm... really?

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  2. Hmmmmmmmmmmmmmmmm serious?

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  3. ignorance is bliss

    More "self regulating"? So the banking sector has greater oversight over its own affairs and government has reduced its involvement. Is this what is being said here? Hmmmmmmm.

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