ECCB 2018-2019 Annual Report and Statement of Accounts

AREAS OF FOCUS 2019 - 2020

The Bank will also: ƒ ƒ Continue to work with member Governments to secure promulgation of the amendments to the Banking Act 2015; Banking (Licences) Regulations; and amendments to the AML/CFT legislation; ƒ ƒ Facilitate wide spread consultations on the Harmonised Registered Land Bill across the eight (8) member countries in 2019; ƒ ƒ Continue to pursue its initiative for the establishment of a deposit insurance corporation which is an important component of a new risk management framework for the ECCU financial sector. The project is in the initial stage and the legislative drafting component is scheduled to commence in the second quarter 2019; ƒ ƒ Continue the development of a macro prudential policy framework which is key to ensuring a strong, diversified and resilient financial system. The Bank will draft the required legislation to vest the authority for financial stability in the ECCB and define the macro prudential institutional framework; ƒ ƒ Study the utility of a harmonised regulatory framework for Crypto-assets which balances innovation and economic development. The project is in an exploratory phase and the research findings will inform the Bank’s policy position and the development of the necessary regulatory framework; ƒ ƒ Review its payment system oversight policy consistent with international standards and is developing a framework to supervise Financial Market Infrastructures (FMIs). The Bank will require FMIs to comply with broad risk-based guidelines, commensurate with their operations and conduct a review of the payment system regulatory framework to ensure that the legislation is sufficiently robust, and where necessary, amendments will be proposed; ƒ ƒ Review Terms of Reference of Eastern Caribbean Payments Council and make the Payments Council more representative of all stakeholder groups engaging in payment activities in the ECCU; ƒ ƒ Establish rules for the Real Time Gross Settlement (RTGS) system that are consistent with the Payment System Act; ƒ ƒ Develop appropriate means for data collection that would allow for the regular and thorough analysis of the payment and settlement system activities; and ƒ ƒ Commence the oversight of systematically important payment systems. Promote the Development of the Financial Sector to Increase Citizen Access to Credit and Other Financial Services ƒ ƒ The Eastern Caribbean Partial Credit Guarantee Corporation (ECPCGC) will commence operation in 2019/20 and will underwrite partial guarantee for productive proposes to eligible financial institutions. Technical assistance will also be provided to financial institutions and MSMEs to improve lending practices, preparation of business plans and to strengthen the enabling environment for MSMEs. ƒ ƒ The Bank will continue to work with member governments for the passing of the Credit Reporting Bill and Regulations for the establishment of the ECCU Credit Bureau. Develop Macro Prudential Framework ƒ ƒ The Bank will continue to improve the existing analytical framework for financial stability by incorporating macro-stress tests into the reporting function. Work will continue on the establishment of the Regional Financial Stability Committee and Macro prudential Policy Committee and the continued development of the Financial Stability Report.

49 | EASTERN CARIBBEAN CENTRAL BANK ANNUAL REPORT 2018-2019