ECCB 2020-2021 Annual Report and Statement of Accounts

ORGANISATIONAL EFFECTIVENESS

The development and implementation of a deposit insurance system in the ECCU will contribute towards the establishment of a comprehensive financial safety net and improve business conditions for banks in the region. A first draft of the Bill has been prepared for consultation. Virtual Asset Business Bill During the year, the drafting of the Virtual Asset Bill was completed and the Bank convened consultations with stakeholders. Moreover, at the 97 th Meeting of the Monetary Council of the ECCB held on 20 October 2020, the Council approved the Virtual Asset Business Bill. The Bill was submitted to the member states in November 2020 for enactment. The Bill has been passed in one member country. Payment System (Eastern Caribbean Clearing House) Rules The Bank continued to follow up with member governments on the amendments to the Payment System (Eastern Caribbean Clearing House) Rules aimed at enhancing efficiencies and flexibility in the processing of transactions by the Eastern Caribbean Automated Clearing House (ECACH). The amended Rules have now been published in five countries. Credit Reporting Bill The Bank continued to encourage member governments to bring the Credit Reporting Bill and Regulations into force. The primary objective of this legislation is to develop a credit reporting infrastructure that would provide financial institutions and other lending institutions with an additional mechanism to evaluate the creditworthiness of their customers and monitor their credit circumstances. This will allow for the local credit markets to function more efficiently. Six member countries have passed the Bill and the Regulations have been issued in three countries. Harmonised Insolvency and Bankruptcy Legislation Cognisant of the economic fallout in 2020 due to the COVID-19 pandemic, the Monetary Council at its 96 th Meeting held on 24 July 2020, endorsed a twelve-month Programme of Action for recovery and resilience inclusive of the enactment of modern insolvency and bankruptcy legislation to support the efficacious restructuring of businesses to protect jobs and to preserve financial stability in the ECCU. During the year, the ECCB, in collaboration with member governments and the International Finance Corporation, advanced efforts towards the development of modern harmonised insolvency and bankruptcy legislation in the ECCU to: • Strengthen the legislative framework for corporate and household insolvency in the ECCU; • Improve the ranking of OECS member countries on World Bank’s Ease of Doing Business Indicators and specifically in addressing Insolvency; ECCU Electronic Conveyancing System Project During the year the Bank continued its engagement with its partners to pursue the ECCU Electronic Conveyancing System Project and in particular the finalisation of a draft harmonised Registered Land Bill which is intended to facilitate the development of a harmonised modern system of land registration throughout the ECCU. Registration of DXCD Trademarks In preparation for the launch and implementation of the Bank’s digital cash project, the Bank accelerated actions to secure the registration and protection of the DXCD trademarks in the ECCU member countries. • Enhance the region’s competitiveness; and • Facilitate a thriving private sector in the region.

EASTERN CARIBBEAN CENTRAL BANK ANNUAL REPORT 2020/2021 34