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ARTICLE · 07 OCTOBER 2024

Amendments To Bermuda's Banking Laws

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Bermuda is enhancing its banking legislation to make it attractive to new banks – particularly those wishing to provide services to Fintech companies.

BermudaFinance and Banking
Natalie Neto
Natalie Neto
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KEY TAKEAWAYS

  • Bermuda is enhancing its banking legislation to make it attractive to new banks – particularly those wishing to provide services to Fintech companies.

  • The new 'restricted banking' license makes it easier to set up in Bermuda, as there is no stringent 'high street' requirement.

  • Initial net assets for restricted banks is set at US$5m compared to US$10m for fully licensed banks.

Bermuda has further enhanced its banking legislation to extend the remit of its 'restricted banking license'.

Pursuant to the Banks and Deposit Companies (Restricted Banks) Amendment Order 2024 (the "Banks Act Amendment Order"), the Bermuda government acting on the advice of the Bermuda Monetary Authority, the sole financial services regulator responsible for the supervision and oversight of Bermuda's banking sector has made the following key amendments to Bermuda's bank licensing framework under the Banks and Deposit Companies Act, 1999 (the "Banks Act").

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