Grenada Takes a Closer Look at Best Practices for Financial Compliance

Grenada’s financial sector is overseen by the Single Regulatory Unit, GARFIN (the Grenada Authority for Regulation of Financial Institutions). Established through the GARFIN Act, this authority consolidates supervision of various financial institutions under one roof.

Mission and Objectives

At its core, GARFIN’s mission is to promote and maintain public confidence in Grenada’s financial system by regulating and supervising designated non-bank financial institutions. This involves administering an array of legislation, which is essential for fostering stability in the financial sector.

Key Functions of GARFIN

GARFIN has established key functions to achieve its mission, including:

• Regulation and Supervision of Credit Unions: Under the Cooperative Societies Act No. 8/2011, credit unions are regulated by GARFIN to ensure their operations align with sound financial principles.
• Insurance Companies: With twenty-six licensed insurance companies operating in Grenada, GARFIN plays a critical role in ensuring they adhere to the country’s regulatory framework.
• International Companies: The registration of International Business Companies (IBCs) is another key area of focus for GARFIN.
• Money Service Businesses: As non-financial businesses that transmit or convert money, money service businesses are also subject to GARFIN’s regulatory oversight.

Importance of Financial Compliance

In today’s uncertain economic climate, confidence in the financial sector is crucial for Grenada’s overall development. By adopting best practices for financial compliance, GARFIN plays a vital role in safeguarding the country’s economy and ensuring its stability for years to come.

GARFIN’s efforts have contributed significantly to maintaining public confidence in Grenada’s financial system, fostering economic growth, and promoting transparency and accountability in the financial sector.