The banking industry in Vanuatu is primarily regulated by two pieces of legislation, Financial Institutions Act No. 2 of 1999 and The International Banking Act No. 4 of 2002. All Banks and Financial Institutions are supervised and regulated by The Reserve Bank of Vanuatu.

Companies wishing to carry on International Banking business must be licensed under the International Banking Act No. 4 of 2002. They are prohibited from dealing in Vatu or with residents of Vanuatu.

All licensees must have at least one full time employee and a physical presence (premises) in Vanuatu. The licensee must conduct its international banking business from these premises and it must maintain records of its international banking business activities at those premises.

A licensee must maintain a minimum amount of capital in proportion to its balance sheet, as the Reserve Bank determines having regard to the activities of the licensee. Licensees must maintain minimum capital of not less than US$500,000 at all times.

The appointment of directors and managers is subject to Reserve Bank approval, and such persons must be fit and proper to hold the position.

Guidelines, consistent with international norms, must be followed and where appropriate the Reserve Bank will seek policies for the prudential management of the Bank.

Licensees will also be required to submit quarterly statistical data and other returns to the Reserve Bank, including a Capital adequacy return, country exposure return and a maturity profile return.

For further information in relation to the costs and the licence application requirements, please click here.  Additional information is also available from Trustees International Limited at PO Box 240, Port Vila, Vanuatu, Fax +678 22317, Telephone +678 22280.