Regulatory Alerts2024-01-01
Fit and Proper Requirements for Banks and Bank Holding Companies (Amendment) Directive, 2024
Issued by the Registrar of Financial Institutions under the Financial Services Act, this directive amends the principal fit and proper requirements for shareholders, directors, and senior management officials of banks and bank holding companies. It introduces a new definition for "Government", mandates that foreign nationals appointed to senior management roles demonstrate a lack of suitably qualified local candidates, and establishes stricter independence and cross-board service rules for chairpersons and directors. The amendments further require accounting and finance heads to hold specific Malawian professional accreditations, update disqualification criteria for political figures and former Reserve Bank officials, and align shareholder obligations with the Licensing of Banks Directive.