Press Release No. : 14/2009
Date : 14 April 2009
The Reserve Bank of Fiji has tightened exchange controls with immediate effect.
The Deputy Governor, Sada Reddy, said that this move is in line with one of the Bank’s core objectives of safeguarding our foreign reserves.
Some of these changes include suspension of facilities while application for other facilities by customers will require the approval of the Reserve Bank. Certain transactions will continue to be delegated but at lower limits.
Further clarification of these measures can be obtained from Commercial Banks, other Authorised Foreign Exchange Dealers and the Reserve Bank of Fiji.
Reserve Bank of Fiji
Part 1 Exchange Control Restrictions effective from 14 April 2009 (for information of Commercial Banks)
Part A: Facilities Suspended
1. Offshore Investments
Part B: Facilities Not Delegated and Requiring RBF Permission
a) Emigration allowance (up to $200,000 per annum)
b) Profit remittances & withdrawal of investments
c) Payment for merchanted imports
d) Offset of foreign exchange earnings against foreign currency payables other than payment of imports already landed in Fiji
e) Foreign currency accounts – for local individuals and locally registered business entities
f) Insurance payments
g) Mortgage of Fiji registered assets to secure transactions held outside Fiji
h) Local Borrowing by Non-Resident Individuals and non – resident controlled companies
Part C: Facilities Delegated
1. Travel Allowance
2. Credit Card Facility
3. Debit Card Facility
4. Advance payments & pre-payment of imports
5. F$ Credit into External Account
6. Offset of Foreign Exchange Earnings against Foreign Currency Bills Payable
7. Other Remittances (apart from those specified above)
Part D: Documentation Requirements
The above facilities will require documentation to be sighted for amounts above F$500 per transaction.
Part E: Forward Foreign Exchange Facility
All forward foreign exchange contracts of commercial banks to be operated within the current guidelines of matching sales against purchases.
Part F: Reporting Requirements
1. Foreign Exchange Transactions
2. Local Borrowing & Guarantees
3. Foreign Currency Accounts