FormBanking
International Banking
A dedicated framework for internationally-facing banks under the Nevis International Banking Ordinance.
Legal Framework
The Nevis International Banking Ordinance, No. 1 of 2014 was designed to enable international banking to be carried on by international banks from within Nevis, and to encourage the development of Nevis as a responsible international financial centre.
The legislation carries a strong built-in regulatory framework, so that a bank licensed under it can be properly monitored to safeguard depositors’ funds, maintain acceptable accounting standards and satisfy capital requirements.
Who may be licensed
- No licence may be issued to an individual. This deters brass-plate banks and protects the reputation of the jurisdiction. Licences are granted only to eligible companies or qualified foreign banks.
- A licensee must have a physical place in Nevis, approved by the Regulator of International Banking, which is also its registered office.
- An eligible company is a body corporate incorporated under the Companies Ordinance that is a wholly owned subsidiary of a bank indigenous to St. Kitts and Nevis and regulated by the Eastern Caribbean Central Bank; or a subsidiary of a qualified foreign bank incorporated under the Companies Ordinance; or a body corporate incorporated under the Companies Ordinance whose chief executive officer, at the time of application, has at least ten years’ experience in banking or finance.
- A qualified foreign bank is a bank with adequate capitalisation and assets that is licensed to conduct domestic banking in its own jurisdiction, or a financial institution that is directly or indirectly a wholly owned subsidiary of a foreign bank.
- The Ordinance permits identification and investigation of all directors, beneficial owners and senior managers. Only fit and proper persons may hold a directorship, senior management, beneficial ownership or shareholding position in an international bank.
Once an application is made and all requirements are satisfied, a licence is issued on payment of the prescribed licensing fee.
Fees
Licence fees
| The matter in respect of which the prescribed fee is payable | USD |
|---|---|
| Initial licence fee | 100,000.00 |
| Application fee | 7,500.00 |
| Administrative fee | 2,500.00 |
| Annual licence fee | 100,000.00 |
Regulatory requests for approval and ancillary matters
| Request | USD |
|---|---|
| Change of shareholder, director, senior management or other control person | 1,000.00 |
| Amendments to ownership structure | 1,000.00 |
| Approval for issue, transfer or disposal of shares (no change in control) | 500.00 |
| Approval for change of particulars | 500.00 |
| Approval for change of name | 1,000.00 |
| Approval for altering articles of incorporation and by-laws | 500.00 |
| Approval for appointment of auditors | 250.00 |
| Request for extension of time for filing regulatory reports | 150.00 |
| Amendments to the business plan | 500.00 |
| Approval for use of the word “Bank” and its derivatives | 500.00 |
| Approval for registered office or change of registered address | 200.00 |
| Approval of maintenance of reserve fund | 500.00 |
| Approval for voluntary winding up | 2,500.00 |
| Approval to enter into a merger, amalgamation or consolidation | 2,500.00 |
| Request for approval of subsidiary or sales office | 2,500.00 |
| Regulatory request letter | 350.00 |
| Request for change in auditor | 250.00 |
| Request for extension of submission of quarterly returns | 150.00 |
| Request for extension of submission of audited financial statements | 150.00 |
| Miscellaneous request | 300.00 |
| Onsite examination fee, subsidiaries and overseas based operations | 20,000.00 |
| Late submission of quarterly returns | 5,000.00 plus 500.00 for each day in default |
| Late submission of audited financial statements | 1,500.00 plus 150.00 for each day in default |
Fixed penalties
| Section of the Ordinance | Contravention | Fixed penalty (USD) |
|---|---|---|
| 6(2) | Carrying on international banking within Nevis without a licence | Not exceeding 500,000.00, plus 50,000.00 for each day in default |
| 15(11) | Breach of a condition of licence | 25,000.00 plus 1,000.00 for each day in default |
| 16(2) | Failure to display a copy of the current licence | 25,000.00 plus 1,000.00 for each month in default |
| 17 | Unauthorised use of the word “bank” in a name | 25,000.00 plus 1,000.00 for each day in default |
| 21 | Appointment of a person debarred from management | 25,000.00 plus 1,000.00 for each day in default |
| 25, 26, 27, 28 | Failure of a director to disclose and declare an interest | 10,000.00 for each contravention |
| 29 | Disclosure of confidential information | 20,000.00 |
| 31 | Failure to forward annual audited financial statements to the Regulator and shareholders by the prescribed date, or forwarding returns late | 25,000.00 plus 1,000.00 for each day in default |
| 76 | Failure to report abandoned property to the Regulator, or to deposit or convey it to the Administration | 25,000.00 plus 1,000.00 for each day in default |
| 77(1) and (2) | Conducting international banking from within Nevis during any period in which a licensee, director or officer does not hold a licence | Not exceeding 250,000.00 for a licensee; up to 50,000.00 for a director or officer |
| 78 | Engaging in advertising practices contrary to the Ordinance | 10,000.00 plus 1,000.00 for each day in default |
| 79 | Making false statements and obstruction | 50,000.00 |
| 10(4) | Failure to submit returns as required by the Regulator | 5,000.00 |
Fees are indicative; confirm current fees with the Commission before applying.
Application
The application and supporting forms are below. You are strongly advised to contact the International Banking Division to discuss your proposals before completing and submitting an application.
FormBanking
NIBO Personal Questionnaire
FormBanking
Banker’s Questionnaire
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Form 3 – Notice of Change of Registered Address
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Form 4 – Notice of Change of Particulars
Legislation & Guidance
The Ordinance and its regulations, together with the Commission’s own guidelines and the Basel Committee standards against which banks are supervised.
OrdinanceBanking
Nevis International Banking Ordinance (Ch 07.05 N)
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Nevis International Banking (Amendment) Ordinance No. 1 of 2024
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SRO 4 of 2014 – Nevis International Banking Ordinance, appointed day
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Nevis International Banking Regulations 2015
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Nevis International Banking Regulations 2021
GuidelineBanking
Basel Committee – Bank Supervision – AML/CFT Guidelines, February 2016
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Nevis International Banking Guidelines
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Basel Core Principles for Effective Banking Supervision 2019
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Basel Committee Guidelines – Sound Management of Risks Related to Money Laundering and Terrorist Financing
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Basel Committee on Banking Supervision – Guidelines on Corporate Governance Principles for Banks
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