London Daily

Focus on the big picture.
Friday, Jun 20, 2025

Gov't implementing Deposit Insurance Policy to protect insured residents

Gov't implementing Deposit Insurance Policy to protect insured residents

Government has announced plans to implement a ‘deposit insurance policy’ in the British Virgin Islands before the end of this year. Deposit insurance is effectively a safety net to protect depositors - in this case, Virgin Islanders and residents.

Government has announced plans to implement a ‘deposit insurance policy’ in the British Virgin Islands before the end of this year.

Deposit insurance is effectively a safety net to protect depositors - in this case, Virgin Islanders and residents - in case their bank or insured financial institution is unable to pay off its debts when they are due.

While making the announcement in the House of Assembly on Thursday, Premier Andrew Fahie said the policy was laying dormant in the House of Assembly after being passed almost four years ago.

The Virgin Islands Deposit Insurance Act, 2016 sought to establish the Virgin Islands Deposit Insurance Corporation and a Deposit Insurance Fund for the purpose of providing protection to depositors, especially those who some may describe as small and unsophisticated, as they are not in a position to assess the risks of the institution in which they may put their hard-earned savings,” Premier Fahie stated.

“The full establishment of the corporation and fund would meet international requirements and address the recommendations found in the Michael Foot Report of 2009 and the International Monetary Fund, Financial Sector Assessment Program (FSAP) in 2010,” the Premier added.


Deposit insurance scheme to provide more formal mechanisms

Premier Fahie, who is also the Minister of Finance, further said a deposit insurance scheme will be able to maintain stability within deposit-taking institutions.

“Establishment of such a scheme would provide your government, in conjunction with the Supervisory and Regulatory authorities, with a more formal mechanism for dealing with problem financial institutions, with a view to protecting depositors and their funds,” Fahie said.

“The scheme will, therefore, replace discretion with an established legal regime, thus allowing for a faster, and more consistent administrative process. This policy will allow the government and the relevant authorities to have an avenue to pursue recourse for citizens in certain circumstances, where otherwise they would have had no options,” he further explained.


Consultancy contract inked

The Finance Minister also said government has entered into a consultancy contract to gain advice on the proper development of a subsidiary legislation and resolution powers, to support the Virgin Islands Deposit Insurance Act, 2016.

“Through persistence and dedication to task, your government was able to enter into a consultancy contract with Ms Vilma Rosa Leon-York to provide the necessary legal and resolution framework for a cutting-edge Deposit Insurance Corporation known as DIC,” Fahie stated.

He added: “The work is expected to take approximately 928 hours or 24 weeks to complete over a one-year period. Simultaneously, your government will be instituting the board which will commence the other logistical works required for the proper operation of the Corporation and its board.”

Premier Fahie said his government intends to implement the Virgin Islands Deposit Insurance Corporation before January 1, 2021.

Newsletter

Related Articles

0:00
0:00
Close
16 Billion Login Credentials Leaked in Unprecedented Cybersecurity Breach
Senate hearing on who was 'really running' Biden White House kicks off
Iranian Military Officers Reportedly Seek Contact with Reza Pahlavi, Signal Intent to Defect
FBI and Senate Investigate Allegations of Chinese Plot to Influence the 2020 Election in Biden’s Favor Using Fake U.S. Driver’s Licenses
Vietnam Emerges as Luxury Yacht Destination for Ultra‑Rich
Plans to Sell Dutch Embassy in Bangkok Face Local Opposition
China's Iranian Oil Imports Face Disruption Amid Escalating Middle East Tensions
Trump's $5 Million 'Trump Card' Visa Program Draws Nearly 70,000 Applicants
DGCA Finds No Major Safety Concerns in Air India's Boeing 787 Fleet
Airlines Reroute Flights Amid Expanding Middle East Conflict Zones
Elon Musk's xAI Seeks $9.3 Billion in Funding Amid AI Expansion
Trump Demands Iran's Unconditional Surrender Amid Escalating Conflict
Israeli Airstrike Targets Iranian State TV in Central Tehran
President Trump is leaving the G7 summit early and has ordered the National Security Council to the Situation Room
Taiwan Imposes Export Ban on Chips to Huawei and SMIC
Israel has just announced plans to strike Tehran again, and in response, Trump has urged people to evacuate
Netanyahu Signals Potential Regime Change in Iran
Juncker Criticizes EU Inaction on Trump Tariffs
EU Proposes Ban on New Russian Gas Contracts
Analysts Warn Iran May Resort to Unconventional Warfare
Iranian Regime Faces Existential Threat Amid Conflict
Energy Infrastructure Becomes War Zone in Middle East
UK Home Secretary Apologizes Over Child Grooming Failures
Trump Organization Launches 5G Mobile Network and Golden Handset
Towcester Hosts 2025 English Greyhound Derby Amid Industry Scrutiny
Gary Oldman and David Beckham Knighted in King's Birthday Honours
Over 30,000 Lightning Strikes Recorded Across UK During Overnight Storms
Princess of Wales Returns to Public Duties at Trooping the Colour
Red Arrows Use Sustainable Fuel in Historic Trooping the Colour Flypast
Former Welsh First Minister Addresses Unionist Concerns Over Irish Language
Iran Signals Openness to Nuclear Negotiations Amid Ongoing Regional Tensions
France Bars Israeli Arms Companies from Paris Defense Expo
King Charles Leads Tribute to Air India Crash Victims at Trooping the Colour
Jack Pitchford Embarks on 200-Mile Walk to Support Stem Cell Charity
Surrey Hikers Take on Challenge of Climbing 11 Peaks in a Single Day
UK Deploys RAF Jets to Middle East Amid Israel-Iran Tensions
Two Skydivers Die in 'Tragic Accident' at Devon Airfield
Sainsbury's and Morrisons Accused of Displaying Prohibited Tobacco Ads
UK Launches National Inquiry into Grooming Gangs
Families Seek Closure After Air India Crash
Gold Emerges as Global Safe Haven Amid Uncertainty
Trump Reports $57 Million Earnings from Crypto Venture
Trump's Military Parade Sparks Concerns Over Authoritarianism
Nationwide 'No Kings' Protests Challenge Trump's Leadership
UK Deploys Jets to Middle East Amid Rising Tensions
Trump's Anti-War Stance Tested Amid Israel-Iran Conflict
Germany Holds First Veterans Celebration Since WWII
U.S. Health Secretary Dismisses CDC Vaccine Advisory Committee
Minnesota Lawmaker Melissa Hortman and Husband Killed in Targeted Attack; Senator John Hoffman and Wife Injured
Exiled Iranian Prince Reza Pahlavi Urges Overthrow of Khamenei Regime
×