Regulatory AlertsSeychelles: lending & credit regulation
Partially regulatedSeychelles: Licensed banks/CB supervised; FSA regulates hire purchase; no specific digital lending license
- Lead regulator
- Central Bank of Seychelles
- Also involved
- FSA (hire purchase) · FSC (general business)
- Core law
- Financial Institutions Act 2004
- Entry capital
- —
- Approval timeline
- —
- Customer assets
- —
- Data protection
- Data Protection Act 2023 · Data Protection Authority
- Sandbox
- —
The Central Bank of Seychelles (CBS) supervises licensed banks and non-bank credit-granting institutions under the Financial Institutions Act 2004, enforcing strict credit classification, provisioning, and reporting standards. The Financial Services Authority (FSA) regulates hire purchase and credit sales providers under the 2013 Act. There is no specific regulatory framework for unsecured digital consumer lending, P2P platforms, or BNBN models, leaving them in a regulatory grey area or subject to general business licensing.
Which licence do you need?
| Your activity | Requirement | Capital | Timeline | Authority |
|---|---|---|---|---|
| Consumer lending | Uncertainverify with regulator No specific regime; general business license required | — | — | — |
| SME / commercial lending | LicenceNon-bank credit granting institution license[1] Subject to CBS credit classification and provisioning rules | — | — | Central Bank of Seychelles |
| Microfinance | Uncertainverify with regulator Treated as credit granting; no specific MF license defined | — | — | — |
| Buy-now-pay-later | Uncertainverify with regulator No specific BNPL regulation; likely general business license | — | — | — |
| P2P lending platform | Uncertainverify with regulator No P2P framework; unregulated or general license | — | — | — |
| Credit bureau / scoring | Uncertain[2] CBS mandates use of its CIS; private scoring unregulated | — | — | — |
| Debt collection | Uncertainverify with regulator No specific debt collection license identified | — | — | — |
New — what changed recently
- 2025-12-30LISC Return Implementation — CBS mandates monthly electronic reporting of loan portfolios, sustainable funding, and climate risk for all commercial banks and non-bank credit institutions.[3]
- 2023-07-06Large Exposure Guideline — CBS issued comprehensive guidelines on large exposures, credit concentration, and connected lending for all licensed banks.[4]
- 2023-03-23IFRS 9 Revised Circular — CBS mandated enhanced IFRS 9 implementation, requiring annual validation of Expected Credit Loss models and robust internal controls.[5]
Market-entry checklist
- 1Secure CBS license for credit grantingApply for a Non-bank credit granting institution license if engaging in SME lending, subject to CBS supervision.
- 2Obtain FSA license for hire purchaseRegister with the Financial Services Authority under the Hire Purchase and Credit Sales Act 2013 for asset-backed lending.
- 3Register for general business operationsObtain a general business license from the Financial Services Commission (FSC) for unregulated digital lending activities.
- 4Implement CBS credit reportingConnect to the Central Bank's Credit Information System (CIS) for mandatory data submission and retrieval.
- 5Adopt IFRS 9 provisioningEstablish internal models for Expected Credit Loss calculation and ensure annual validation as per CBS circulars.
Sources
- Guidelines on Reporting for Loan and Investment Portfolios, Sustainable Funding, and Climate-Related Risk · 2025-12-03
- Central Bank of Seychelles (Credit Information System) Regulations 2012-2014 · 2018-09-13
- Central Bank of Seychelles LISC Return Implementation for Commercial Banks · 2025-12-30
- Guideline on Large Exposure, Credit Concentration and Connected Lending · 2023-07-06
- Revised Circular on IFRS 9 Requirements for Financial Institutions · 2023-03-23