Eastern Caribbean Central Bank begins second phase of gazetting prudential standards on capital requirements

The Eastern Caribbean Central Bank has commenced the second phase of publishing its Prudential Standards in the official gazettes of its member countries, aiming to give the standards full force of law. The standards set prudential requirements for licensed financial institutions, including minimum capital requirements and related control expectations. The package includes the Prudential Standard for Capital Measurement, issued on 11 July 2023, which sets minimum regulatory capital that commercial banks must hold for credit, operational and market risks and shifts the Eastern Caribbean Currency Union’s banking sector toward a more risk-sensitive solvency framework. It also includes the Prudential Standard for Basel I Capital Measurement for Credit Institutions Licensed Under the Banking Act, 2015, issued on 2 February 2026, which sets minimum capital requirements for credit institutions using the Basel I framework with a focus on credit risk.