BRIDGETOWN—The Central Bank of Barbados says it has developed a new framework for granting licenses for prospective financial institutions seeking to operate here warning that it would reject any applicant if it determines that approval would not be in the public interest. The central bank said that the new framework is in furtherance of its responsibility to regulate and supervise licensees under the Financial Institutions Act (FIA) and the International Financial Service Act (IFSA). “The licensing process is central to maintaining a well-respected financial centre,” it said, noting that it would reject an application if the specified criteria are not fulfilled; if the applicant fails to provide adequate information; if the proposed application promotes unsound financial practices; or if the Bank determines that approval would not be in the public interest. “The Bank may exercise flexibility in implementing this Framework in order not to stagnate growth of the sector,” the Central Bank said, noting the requirements in the framework “are based on best practice and the desire for Barbados to remain a competitive jurisdiction that attracts entrants into both the domestic and off-shore sectors, who are capable of contributing to the further development of Barbados as a reputable financial centre.”
