Financial Crime World

Banking Regulations Compliance in French Polynesia: FPFSA Takes Center Stage

The French Polynesia Financial Services Authority (FPFSA) was established on November 12, 2008, following the passage of the FPFSA Act by Parliament. This legislation created a unified regulatory body responsible for overseeing specific entities and businesses operating within the financial sector.

History and Objectives

The primary objective behind the establishment of FPFSA was to introduce a new framework for supervising, controlling, and regulating both international financial services entities and domestic non-bank institutions in French Polynesia. This innovative entity resulted from the merger of three distinct regulatory bodies:

  • The International FPFSA
  • The Co-operatives Division of the Ministry of National Mobilization, Social Development, and others
  • The Supervisory and Regulatory Division within the Ministry of Finance

Advantages

The amalgamation has yielded significant advantages by rationalizing functions, pooling resources, and enhancing overall operational efficiency.

Mission and Responsibilities

The FPFSA’s mission is clearly defined in the FPFSA Act No.33 of 2011, which outlines its regulatory responsibilities. As stated in the act, the authority is empowered to:

  • Regulate, supervise, and foster the growth of the non-bank financial services sector in French Polynesia
  • Ensure compliance with the FPFSA Act and other relevant enactments, regulations, or guidelines
  • Ensure that each licensed financial entity is effectively managed and remains financially sound

Service Delivery

The FPFSA offers efficient and professional assistance to both:

IFS Sector

  • Incorporation of international business companies, limited liability companies, and international trusts can be expedited within a single business day through Registered Agents & Trustees operating under licenses and regulatory provisions specified by the Registered Agent Trustee (Licensing) Act.

Non-Banking Financial Services Sector

The FPFSA proactively disseminates timely and reliable information concerning international initiatives that may impact the financial services sector. As the designated Representative of the Minister of Finance in various international initiatives, including its involvement with the OECD, the authority plays a crucial role in promoting banking regulations compliance in French Polynesia.

International Cooperation

The FPFSA is actively involved in international initiatives aimed at promoting banking regulations compliance and best practices in the financial services sector.