Central Bank Approves Scotia Bank Sale But Not In Antigua

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The Eastern Caribbean Central Bank (ECCB), in consultation with the ECCB Monetary Council, has approved the application for the transfer of the assets and liabilities of the Bank of Nova Scotia (BNS) to the Republic Financial Holding Limited (RFHL) in Anguilla, the Commonwealth of Dominica, Grenada, St Kitts and Nevis, Saint Lucia and St Vincent and the Grenadines, pursuant to Section 43 of the Banking Act.

Discussions on the future of Scotiabank’s operations in Antigua and Barbuda are ongoing.

The ECCB Monetary Council met on 6 September, via videoconference, to discuss the ECCB’s assessment of the Republic Financial Holdings Limited’s application to acquire the Bank of Nova Scotia’s operations in ECCB member countries.

 

The ECCB undertook a review of the proposed transaction to assess the following:

1. The RFHL’s Strategic Plan 2018-2020;
2. The financial condition of RFHL to support the operations of the acquired banking business of BNS, as well as all of RFHL’s subsidiaries;
3. The implications for the stability of the ECCU banking system; and
4. The technical/human resource capacity of RFHL to effectively govern its subsidiaries across multiple jurisdictions.

In completing its assessment, the ECCB consulted with the Central Bank of Trinidad and Tobago (CBTT), RFHL’s home regulator.
The approval granted to the RFHL is subject to the condition that RFHL will be required to make a stake of its ECCU operations available to the people of the ECCU through approved ECCU entities.

The ECCB is in the process of communicating the requirements for finalisation of the transaction between RFHL and BNS and will continue to monitor the process to ensure full regulatory compliance. The ECCB believes that Republic Bank’s corporate banking record and its extensive network of correspondent banks will bode well for the ECCU banking sector.
The ECCB is resolute about its mandate to protect the EC dollar and will continue to maintain high levels of foreign reserves while protecting the stability of the banking system.
Citizens and residents in ECCB member countries are encouraged to stay abreast of developments in the financial sector.

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10 COMMENTS

  1. “…it’s extensive network of correspondent banks”. Gaston always complaining that local banks are having problems getting and keeping correspondent banking relationships but here the Central Bank is stating that Republic has extensive correspondent banking. Gaston’s position does not make sense to me

    • Guy at the end of the day, as shown in the past, if this bank goes bust, since we still have no depositors insurance, is it not government using tax payers moneys who may have to bail out depositors? Considering our experience with British American you really think we should not exercise extra caution? Look I think we can agree that Rep bank at least on paper looks like a very credible bank but our local banks (eg ACB)should have been allowed to be part of the bidding process.

  2. Antigua needs to reduce immigration from Jamaica and Haiti ASAP. These foreign nationals are even messing with our banking system. Antigua used to be a rich and beautiful nation, and even though PM Browne is doing great, the reality is that our immigration policy must be tightened up ASAP!

    Withdraw from CARICOM now!

      • I agree an idiot right this. Antigua is a good place but need more governance. To much political interference cause many big business to reconsider Antigua and go else where. Antigua need to remove the politics out the unions as well and let market conditions place it part in business development.

      • Realllllyyyyy…IF ANTIGUA WAS NOTHING B4 you and the rest loosers came ….WHY YOU AND THEM CANT SEEM TO LEAVE BCOS WE ARE AN EPIC EYE SORE TO INVESTORS AND THE DISPORA …..WHY WE NEED YOU ALL….WHAT FOREIGNER HAS TREMENDOUSLY ENHANCE ANTIGUA ON THE WORLD STAGE…..WHO FOREIGNER RESCUE ANTIGUA ..WHO FOREIGNER CAN SAY THEM TEK THE WHITE CHALK LIPS OFF ANTIGUANS MOUTH…why you nt scatter ur rarse out ANTIGUA …

  3. I would be sorry to see the Bank closes that Branch in Antigua.For the sake of those who have been employed there for many moons.What would they do then? Be employed by the Administration making petty cash for a salary,monthly.Then when the month ends no means of getting paid in a timely manner.This does not smell very good at all.Central Bank approves the sale but not in Antigua.And many of you are wondering.What has happen to all of those so called Investors.Persons are afraid to Invest their Capital in any country with a rogue leader.Who would come across as very easily unhinged.Some would refer to him as the World Boss and The Moses.I would refer to him as the World’s Jackass.Not a Moses,not a Banker either.Thirteen years working for a Piggy Bank(Swiss American) does not make one a Banker.Where have all the flowers gone.Where is that Bank now.Gone to the Banking Graveyard.That Bank was started by Baruch “Bruce”Rappaport in Antigua.He was also the owner of West Indies Oil Company in Antigua.Follow the money and see where it ended up.Read the History of Rappaport and his involvement in the IHI matter.

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