Prudential Regulation and Supervision
The Supervision Department is responsible for the prudential regulation and supervision of domestic and international banks, credit unions, other financial institutions, moneylenders, and payment service providers and operators in Belize. In this respect, we develop policies and regulations for the financial sector to ensure that financial services and products are provided in a safe and sound manner. These institutions are also supervised to maintain a robust and comprehensive view of the sector’s activities to ensure compliance with policies and regulations, identify risks as they arise, and ensure stability of the financial sector.
The main objectives of the Supervision Department are to:
Maintain public confidence in the financial sector
Ensure a safe and sound financial sector
Protect the interest of depositors
Maintain the efficiency and effectiveness of regulation
Ensure adherence to applicable laws and regulations
Who do we regulate and supervise?
The Supervision Department is responsible for regulating all banks and financial institutions licensed under the Domestic Banks and Financial Institutions Act (DBFIA) and International Banking Act, credit unions registered under the Credit Unions Act, moneylenders licensed under the Moneylenders Act, and remittance service providers legislated by the National Payment System (NPS) Act.
Domestic Banks
International Banks
Credit Unions
Other Financial Institutions
Remittance Service Providers
Moneylenders
Payment Service Providers
How do we regulate and supervise?
The Supervision Department uses a risk-based approach to supervise institutions that it regulates. To fulfil its objectives, the Supervision Department uses its authority to:
- approve or revoke licenses and/or registrations of banks, credit unions, moneylenders, other financial institutions, and payment service providers and operators
- conduct on-site examinations and off-site surveillance of regulated institutions
- assess acquisition and disposal of qualifying holdings by regulated institutions
- ensure compliance with regulations, guidelines, and directives
- administer supervisory actions against regulated institutions that do not comply with regulations, guidelines, and directives or that engage in imprudent practices
- institute capital and liquidity requirements to counter financial risks
- conduct stress tests using plausible scenarios to assess the impact of unexpected events to assist in the development of strategies to help build resilience in crisis situations
- engage in continuous dialogue with the management and board of directors of regulated institutions to obtain information or discuss emerging issues