The Eastern Caribbean Central Bank (ECCB) has called on all licensed financial institutions (LFIs) under the Banking Act of 2015 to introduce basic bank accounts for their customers starting December 1, 2024.
The initiative reflects demands from citizens of the region for easier access to financial services in the formal banking system.
In a circular issued on November 14 to the heads of commercial banks ECCB Governor Timothy N.J. Antoine highlighted the bank’s strategy to simplify account access.
“As part of its strategic objective aimed at fostering financial inclusion, the ECCB and the ECCU Bankers Association through a joint Working Group, has developed a comprehensive action plan to facilitate the ease of account opening at all licensed financial institutions. The provisions are codified as proposed amendments to the Banking Act, 2015 and have been submitted to our member countries,” Antoine explained.
While awaiting the amendments to the Banking Act of 2015, the ECCB has encouraged financial institutions to voluntarily introduce basic bank accounts. These accounts are defined as savings accounts that:
- Are free to open.
- Exempt customers from charges for deposits or withdrawals.
- Earn interest.
- Have no minimum balance requirement.
- May include a maximum balance limit.
- Exclude chequing and overdraft facilities.
To further ease access, the ECCB has outlined simplified due diligence requirements. Individuals need only provide one valid photo ID, such as a national identification card, driver’s license, or passport, to open a basic bank account.