ECCB
ANNUAL REPORT 2014/2015
14
EASTERN CARIBBEAN CENTRAL BANK
the enhanced resolution framework in the Banking
Bill.
2. Revised Banking Bill
– New provisions have
been designed to maintain the soundness and
stability of the financial system and to facilitate
the establishment of a single financial space in
the sub-region consistent with the Revised Treaty
of Basseterre establishing the Organisation of
the Eastern Caribbean States Economic Union.
Specifically, the Basel Committee’s Core
Principles of Effective Banking Supervision have
been incorporated to enhance the Central Bank’s
cadre of corrective measures where there are
regulatory violations or where depositors are
threatened. In addition, the licensing authority
for commerical banks has been transferred to the
ECCB.
3. Eastern Caribbean Asset Management Corporation
Agreement and Bill
- To facilitate the resolution
of banks facing challenges, an agreement for
the establishment of the Eastern Caribbean
Asset Management Corporation (ECAMC) as a
statutory entity was also prepared. The ECAMC
will be established as a regional asset management
vehicle for the purpose of acquiring, managing,
and disposing of problem assets of approved
financial institutions.
Institutional Arrangements
The Foreclosure Committee, constituted by
membership from: OECS Bar Association; ECCU
Bankers Association; Registrars of Land in Antigua
and Barbuda, Grenada, St Kitts and Nevis and Saint
Lucia; the ECCB; the OECS Commission; Attorney
General’s Chambers, Montserrat; Financial Secretary,
Commonwealth of Dominica; and a consultant from
The World Bank, conducted a review of the existing
Foreclosure Legislation in the ECCU. The ultimate aim
of the review was to assess the extent to which critical
legislative, administrative and business practices can
be made uniform and reformed to improve efficiencies
in the process for land ownership and disposal of
mortgage collateral in the context of a single financial
space. The latter is critical to the smooth functioning
of the commercial banking system.
The Committee has submitted a comprehensive report
for approval by the Monetary Council, advocating
uniformity of the laws on land ownership and
mortgages and the development of efficient practices
and procedures for the realisation of mortgage
collateral within a single financial space.
M
arkets
The ECCB, as fiscal agent to member governments,
continued to support the operations and development
of the Regional Government Securities Market
(RGSM) as a major source of financing for member
governments. Staff of the debt units in the respective
ECCU countries received training in various aspects
of the RGSM under the CANEC-DMAS Project.
The number of auctions on the RGSM increased to
56 during the financial year compared with 50 in the
preceding year as governments relied more on the
regional market for short and long term financing.
MONEY AND CAPITAL MARKET
DEVELOPMENT
