Find Banking and Financial Services expertise in Tuvalu
The National Bank of Tuvalu was originally established by Barclays Bank and the Tuvaluan government. For a time, Barclays’s interest was replaced by the Westpac Banking Corporation. However, the National Bank is now entirely government owned and there are no branches of multinational financial institutions in the country (2012). The National Bank of Tuvalu’s loan portfolio is dominated by personal borrowing, with only about 30% lent for business purposes. Most bank accounts in Tuvalu are owned by wage employees as all public sector employees have their salaries paid into a bank account.
Regulation of Financial Services
The minister of finance regulates the business conduct of the National Bank of Tuvalu. Foreign investment is welcomed in Tuvalu and is legislated by the Foreign Investment Facilitation Board (FIFB) under the Foreign Direct Investment Act of 1996. The board is overseen by the Ministry of Tourism, Trade and Commerce.
Development of Financial Services
The Development Bank of Tuvalu provides loans for the long term economic and social development of the country. Money transfers such as Western Union bring remittances into the country. Following the Development Act of Tuvalu (1990), and operational from 1993 onwards, the Development Bank of Tuvalu, which is entirely owned by the government, was set up to encourage viable business ventures. The focus of the lending is on fishing and agriculture business, which can be loaned up to 80% of the project cost, and on commercial and industry projects which can receive up to 65% of the project cost (2008).
|Banking and Financial Services organisations in Tuvalu|
|National Bank of Tuvalu||