ANTIGUA AND BARBUDA FINANCIAL MARKET OFFSHORE LICENSING

An international bank is a corporation established under the IBC Act and granted a license to conduct international banking business.

1. Persons desiring to carry on international banking business in Antigua and Barbuda shall apply in writing to the Commission for the granting of a licence under any of the following categories:

1. Class I International Banking Licence;
2. Class II International Banking Licence;
3. Class III Composite International Banking and Trust Licence.

A licensed institution holding a Class I International Banking Licence shall maintain a minimum capital as may be determined by the Commission from time to time, but not being less than three million United States dollars in paid up capital, of which five hundred thousand United States dollars shall be deposited with the Commission or in a manner approved by the Commission on the recommendation of the appropriate official, as the case may be.

A Class II International Banking Licence permits the licensed institution to carry on international banking business for a restricted list of customers, approved by the Commission from time to time, or specified in the list issued as part of the terms upon which the licence is granted. A licensed institution holding a Class II International Banking Licence shall maintain a minimum capital as may be determined by the Commission from time to time, but not being less than five hundred thousand United States dollars in paid up capital, of which one hundred thousand United States dollars shall be deposited with the Commission or in a manner approved by the Commission on the recommendation of the appropriate official, as the case may be.

A Class III International Banking and Trust Licence permits the licensed institution to carry on international banking and trust services for an unrestricted list of customers. A licensed institution holding a Class III International Banking and Trust Licence shall maintain a minimum capital as may be determined by the Commission from time to time, but not being less than three million United States dollars in paid up capital, of which five hundred thousand United States dollars shall be deposited with the Commission or in a manner approved by the Commission on the recommendation of the appropriate official, as the case may be.

2. Any corporation in Antigua and Barbuda licensed under the IBC Act is required to maintain a physical presence. The physical presence requirement provides that licensed corporations must conform to the following minimum requirements:

• A licensed corporation must have its own separate office large enough to comfortably accommodate a staff of at least two (2) persons, computer equipment and facilities to accommodate clients.
• The time of the opening of the corporation may be flexible but it must open each day, Monday to Friday, for a minimum of six (6) hours per day. Opening hours should be posted outside the corporation notifying any interested person of the schedule.
• Licensed corporations must have at least one (1) full-time employee.
• The person mentioned above, or at least one other person employed with the corporation, must have relevant experience, that is, capable of understanding the operation of the corporation. The person must be responsible enough to recognize the process or otherwise of due diligence so as not to be unwittingly caught up in money laundering.
• Finally, physical records are to be remitted at the latest on a monthly basis to Antigua and Barbuda and stored in a manner that can be easily reproduced. This would facilitate inspection of transactions in the event of an inquiry. In addition, the facility to avail of current information must be established.

1. An international bank is subject to annual on-site examination to ascertain, among other things, compliance with the relevant laws, regulations and international standards; observance of Know Your Customer (KYC) standards; and maintenance of details of transactions and customers. Examiners may also investigate procedures for reporting and filing suspicious transactions with the appropriate supervisory authority under the Money Laundering (Prevention) Act 1996; the Prevention of Terrorism Act 2005 and the Money Laundering (Prevention) Regulations, 2007. 

For more information visit Financial Services Regulatory Commission 

Antigua and Barbuda is blockchain-friendly territory and is considered a pioneering state in the field of digital assets business.

The Digital Assets Business Bill, 2020 , which was passed by the Antigua and Barbuda House of Representatives is one of the policies that could stimulate the entry of digital asset investments into the historic island state.  The digital asset businesses’ activities would be included in the system are “issuing, selling, or redeeming virtual coins”, operating as a payment service, operating as an electronic exchange, and for providing custodian wallet services. The Bill introduces a tiered licensing system for digital asset businesses, comprehensive obligations on companies when embarking on digital asset sales, and a host of clauses fleshing out and strengthening the digital currency regulatory infrastructure in Antigua and Barbuda. With the implementation of the bill comes the authority of the Financial Services Regulation Commission (FSRC) oversight to impose the legal regulations among significant companies.

The Division of Gaming is the regulatory body under the Financial Services Regulatory Commission (FSRC) responsible for the oversight of all aspects of the Offshore Gaming industry in the jurisdiction of Antigua and Barbuda. Antigua and Barbuda was one of the first jurisdictions to license interactive gaming and wagering companies in 1994. The internet gaming companies are classified as “Financial Institutions” and are subject to all the Anti-Money Laundering (AML) and Caribbean Financial Action Task Force (CFATF) requirements of the jurisdiction. The regulatory framework for these companies has been provided in the International Business Corporations (IBC) Act and the Interactive Gaming and Interactive Wagering Regulations (IGIWR).Today, FSRC, Division of Gaming continues to be home to a significant portion of the industry and some of the largest i-gaming companies due to our pursuit of being a tier one regulatory jurisdiction.

Antigua and Barbuda has been very proactive in regulating the offshore gaming through its IGIWR that enforces corporate probity and international best practices. The Division of Gaming is committed to ensuring that Antigua and Barbuda is internationally regarded as a Tier 1 jurisdiction of choice, and its regulations and regulatory enforcement remain first rate. The jurisdiction’s regulatory regime comprises a three pronged focus on “Money Laundering Prevention”, “Player Protection” and “Industry Enhancement”. All gaming activities within the State are subject to the Money Laundering Prevention Act (MLPA) and the Prevention of Terrorism Act (PTA, 2001).

In an effort to ensure the industry remains in conformity with the international best practices we amended the IGIWR in May 2001, to have our gaming companies establish clear internal procedures regarding “Know Your Customer”. In addition, all gaming companies are required to have their accounts audited by external auditors who also have to certify their solvency, safety and soundness, player protection and compliance with AML/CFT regime in Antigua and Barbuda.

For more information visit Financial Services Regulatory Commission