Bank System

The Bank System is composed by the Central Bank of Belize (established in
1982) and other Financial Institutions. The Central Bank has the following statute aims: warranty of monetary stability, promotion of  credit exchange,  the support of economic development within the scope of the  Government economic policy.

The Central Bank of Belize has  the power to control deeds by regulations and supervision on the banks  and on Belizean Financial Institutions, as well as  powers of disciplinary sanctions characteristics. These powers are inserted in a context of regulations extremely controlled with the purpose to warrant the reliability and honesty of the bank system.

        

Some general regulations are foreseen, concerning the following: the minimum qualifications to obtain  a licence, capitals, interest  and discount rates, financial instruments, social communications, accountability and social books, bank and commercial cases,  obligation of  investigation, relationship with connected banks,  bank commissions, opening times, duties and responsibilities of managers and bank officers.

Moreover, special disciplines are foreseen relative to special operations as: subscriptions, commerce or negotiations relating to specific business, merchant bank, minimum requirements of monetary liquidity, issue of shares, and relative obligations of advertisement; sales, negotiations, loans, financial support and obligation of advertising relative to management of financial packages and financial brokerage with public; establishment of trust, joint investments and trust’s management.

The Central Bank has very sharp  powers of supervision and sanctions. In fact, in every financial institution, the nomination of a member is foreseen by the trade union Board who is agreeable to the Central Bank. Besides the Central Bank, the fiscal system of Belize is  formed by 60 financial institutions.