Regulatory Alerts2018-01-01
Financial Services (Risk and Governance for Banks) Directive 2018
The Registrar of Financial Institutions in Malawi issued this directive to establish minimum risk and governance standards for banks and bank holding companies. It mandates boards to maintain at least nine directors with a majority of independent or non-executive members, enforce strict independence and tenure rules for chairpersons and committee members, and require formal board charters alongside dedicated audit and risk management committees. Non-compliance triggers monetary penalties of up to fifty million kwacha for institutions and ten million kwacha for directors or senior management, supplemented by administrative enforcement actions under the Financial Services Act.
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