Bahamas: fintech & payments regulation

Regulated

Central Bank of The Bahamas supervises fintech/payments under BTCRA 2020; no specific VASP license

Lead regulator:: Central Bank of The Bahamas
Key law:: Banks and Trust Companies Regulation Act 2020
Last updated:: 2026-07-12

The Central Bank of The Bahamas (CBT) is the primary regulator for financial services, including payment activities, under the Banks and Trust Companies Regulation Act (BTCRA) 2020. Entities conducting payment services or operating as virtual asset service providers (VASPs) must determine if they fall under the statutory definition of a bank or trust company, or require specific licensing under emerging virtual asset frameworks.

The CBT enforces strict anti-money laundering (AML) and counter-financing of terrorism (CFT) standards, including updated customer identification and due diligence guidelines effective 2023. While the BTCRA 2020 provides the core licensing regime for banks and trust companies, the jurisdiction is actively developing specific regulations for virtual assets, with recent 2025 regulations addressing private trust companies and qualified executive entities.

Notable restrictions include the discontinuation of new restricted bank licenses since 2012 and stringent physical presence requirements for licensed entities. The regulatory environment is risk-based, requiring comprehensive controls for electronic banking and managed branches, with a clear direction towards enhanced transparency and local governance.

Who regulates

Central Bank of The Bahamas
Primary supervisor for banks, trust companies, and emerging fintech/virtual asset sectors
^[1][2][3]

Core laws & rules

Banks and Trust Companies Regulation Act (2020)
Establishes the statutory framework for licensing and supervising banks and trust companies, including exemptions for private trust companies.
^[1]
AML/CFT Guidelines (2023)
Amended guidelines updating customer identification and due diligence requirements for supervised financial institutions.
^[2]

Licensing & registration

Bank/Trust Company License
Required for entities accepting public deposits or providing trust services. New restricted bank licenses are no longer granted. Timeline: Discontinued for new restricted banks since 2012
^[4]
Private Trust Company Certification
Eligible entities may obtain certification under a statutory exemption framework. Capital: $5,000 (minimum capital threshold for PTCs) Timeline: 2025 Regulations
^[1][5]

Restrictions & warnings

Licensees must maintain a physical presence in The Bahamas, including at least two resident executive officers and one local non-executive director.
^[6]
Prohibited words such as 'bank' or 'trust' cannot be used in company names without Governor approval.
^[7]

Direction of travel

The CBT continues to update its supervisory framework, including electronic banking guidelines and AML/CFT standards, indicating a focus on risk-based supervision and operational resilience.
^[3][2]

Sources

Banks and Trust Companies (Private Trust Companies and Qualified Executive Entities) Regulations 2025 · 2025-11-05
Amended Streamlined Requirements for Account Opening, Financial Services and Customer Identification · 2023-04-20
Central Bank of The Bahamas Guidelines for Electronic Banking · 2019-06-24
Guidance Notice on Restricted Bank Licences · 2019-06-26
Revised Private Trust Companies (Amendment) Regulations 2012 · 2019-06-26
Central Bank of The Bahamas Physical Presence Guidelines · 2019-06-26
Guidance Note BTCRA 7: Use of Prohibited Words in Company Names · 2019-06-26

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This guide is compiled automatically from 7 primary-source documents published by Bahamas's regulators, reviewed by RegAlert, and refreshed monthly (last updated 2026-07-12). It is not legal advice — always confirm requirements with the regulator or local counsel before acting.