LogoRegulatory Alerts
2024-01-01

Financial Services (Licensing of Banks) (Amendment) Directive, 2024

Issued by Registrar of Financial Institutions Dr. Wilson Toninga Banda, this directive amends the principal licensing framework for banks under the Financial Services Act. It establishes a minimum start-up capital requirement of K10,000,000,000 by replacing the existing provision in paragraph 7. Additionally, paragraph 9 is updated to mandate that the minimum number of board directors aligns with the Financial Services Risk and Governance Requirements Directive.

Reserve Bank of Malawi logo

Malawi

Reserve Bank of Malawi

Click to view thumbnail

GOVERNMENT NOTICE NO. 30 FINANCIAL SERVICES ACT (CAP 44:05) FINANCIAL SERVICES (LICENSING OF BANKS) (AMENDMENT) DIRECTIVE, 2024 IN EXERCISE of the powers conferred by section 21 (5) of the Financial Services Act, I, DR. WILSON TONINGA BANDA, Registrar of Financial Institutions, issue the following Directive__

  1. This Directive may be cited as Financial Services (Licensing of Banks) (Amendment) Directive, 2024.
  2. The Financial Services (Licensing of Banks) Directive (hereinafter referred to as the “principal Directive”) is amended, in paragraph 7, by deleting subparagraph (1) and substituting therefor a new subparagraph as follows__ Citation Amendment of para. 7 to Cap. 44:05, Sub. leg. GN. 22/2018 “(1) The minimum start-up capital for a bank shall be (K10,000,000,000).”.
  3. Paragraph 9 of the principal Directive is amended by deleting subparagraph (1) and substituting therefor a new subparagraph as follows__ Directive GN. 51/2018 Amendement

of para. 9 of the principal “(1) The minimum number of members of a board of directors of a bank shall be as prescribed in the Financial Services (Risk and Governance Requirements for Banks and Bank Holding Companies) Directive.”. Issued this 1st day of May, 2024. (REF. NO. FIN/PFSPD/02/12) DR. W. T. BANDA Registrar of Financial Institutions

Share