Jamaica: The Banking Act

This paper is the 'Banking Act' as legislated by the Government of Jamaica and amended in 1992. It contains statutory provisions for carrying out of banking services business in Jamaica.Sections I to VII of the paper discuss the following:

• Interpretation of the application of this Act and definitions of common terms used;
• The requirements for obtaining a license to operate banking business;
• Guidelines for capital adequacy norms that are integral to carrying out such business;
• Certain restrictions on entities that are into this business;
• Guidelines for the minimum cash reserve and liquid assets that a bank has to maintain against its overall liabilities;
• The principles for accounting standards and auditing that need to be followed;
• Issues related to regulation of entities falling under this law.

Further, the other sections highlight the following issues:

• Regulations against unsafe practices;
• Supervision and examination of banks;
• Winding up, amalgamation and transfer of assets of banks.

The paper concludes with a chapter containing general provisions that deal with other significant issues.