Dedicated to being a premier regulator committed to creating a safe and sound financial future, the Turks and Caicos Islands Financial Services Commission is a premier partner for any financial needs. We explore the company’s many offerings and the country’s exceptional appeal with Kenisha Bacchus, Acting Managing Director.
REGULATING WITH HONESTY, INTEGRITY, AND TRANSPARENCY
The Turks and Caicos Islands (TCI) is not only famous for its pristine beaches and nirvana-like climate but also as a Caribbean financial center highly attractive to investors and financial institutions for myriad reasons.
The islands boast a flourishing tourism industry, accessible opportunities for real estate investment and development, and numerous fiscally prudent advantages.
With no income, capital gains, or inheritance taxes, TCI offers opportunities for individuals and businesses alike to optimize their tax obligations and enjoy financially stable environment. Additionally, the nation has a stable political and economic climate due to its status as a British Overseas Territory and close proximity to the US.
The endless natural beauty, thrilling tourist attractions, and plethora of financial services and benefits make TCI an incredibly appealing location for those seeking financial growth in a slice of paradise.
To help navigate these services, which can seem overwhelming at times for newcomers unfamiliar with local policies and governance, is the Turks and Caicos Islands Financial Services Commission (TCIFSC) – a leading regulator for all matters relating to financial services regulation, supervision, monitoring, and legislation, and the incorporation and registration of legal entities and businesses in TCI.
The TCIFSC is dedicated to fostering and maintaining public confidence in the financial services sector of the islands. Established under the Financial Services Commission Act 2001, it operates as an independent statutory body.
The commission’s core mandate is to ensure a strong and stable financial system through the effective regulation and supervision of financial services providers, which includes non-profit organizations and designated non-financial businesses and professions (DNFBPs), banks, investment dealers, and insurance companies, as well as managing the commercial registry in TCI.
WHY TCI?
As mentioned, due to its stable economy, myriad tax benefits, and government commitment to fostering business development, TCI holds the promise of substantial returns.
The islands are a prime opportunity for savvy investors and business owners looking to grow their companies in a nation of white sandy beaches, vibrant coral reefs, and pre-established thriving industries such as real estate, hospitality, and leisure.
No matter what sort of strategic business venture one is looking to embark upon, TCI’s allure, alongside its beneficial location and flourishing tourism sector, make it an enticing investment opportunity not to be overlooked.
TCIFSC allows individuals and businesses to access the plethora of benefits the islands offers with time-tested reliability, proven expertise, and seamless services.
As an independent statutory body, the commission is an integrated regulator with responsibility for the regulation of all financial services businesses operating in or from the islands.
In addition to supervising various business entities, the commission is responsible for the administration of company formation, registration, patents, trademarks, and names, alongside ensuring local financial institutions follow the laws set in place.
Run by a seven-member board of commissioners – comprising experts with deep knowledge in both domestic and international financial services and regulatory matters – TCIFSC reports to and takes direction directly from the Governor of TCI, Dileeni Daniel-Salvaratnam.
FACILITATING ECONOMIC DEVELOPMENT
The TCIFSC board is constituted under Section 5 of the Financial Services Commission Ordinance 2007 and is responsible for overseeing the business and affairs of the organization, ensuring the effective implementation of its strategic objectives and goals.
As the governing body of the commission, the board plays a critical role in overseeing its financial services and offerings.
Its principal functions are varied and include establishing the policy of the commission and monitoring its implementation; approving financial estimates for submission to the Governor of TCI in Cabinet; appointing senior officers, including the Registrar of Companies; and approving financial statements and appointing a suitable, qualified person to audit them.
Additionally, the board monitors and oversees the management of the commission with the objective of ensuring resources are utilized economically and efficiently; adequate internal financial and management controls are in place; TCIFSC is operated in accordance with principles of good governance; and the commission fulfills its statutory obligations and properly discharges its functions.
Equally as important to the seamless management and services of TCIFSC are its domestic and international cooperations.
For domestic cooperation, the commission lends support as an interested stakeholder in the protection of the integrity of the financial services system to national and international initiatives that are not viewed as part of its core functions.
In doing so, TCIFSC regularly works alongside domestic authorities, including the Attorney General’s Chambers, Financial Intelligence Agency, Royal TCI Police Force, and many others in order to meet obligations set out by other domestic legislation.
Internationally, the commission takes appropriate steps to work with foreign regulatory authorities, competent authorities acting pursuant to enactment, and others in or out of TCI in relation to the prevention or detection of financial crime.
ENSURING A STRONG FINANCIAL SYSTEM
Crucial to implementing any business in TCI is the process of legal and accurate registeration.
TCIFSC, through its Registry Department, is responsible for the administration of the Company Ordinance, Partnership Ordinance, Trademark and Patents Ordinances, and the Business Names Ordinance. It is also the custodian of public information filed pursuant to these ordinances.
The department’s objective is to provide the highest level of service and maintenance of accurate records.
In pursuing this objective, it is guided by the requirement to balance the needs of those legally required to file information against those who have a statutory right to inspect such information.
Additionally, to allow companies to access this information and obtain the appropriate licenses more easily, TCIFSC offers the Registry Management System, commonly known as K-registry – an online portal utilized to facilitate services to clients.
The system primarily caters to the general public alongside corporate services providers, i.e., company managers and agents, who register as public service providers (PSPs).
To protect both the commission and its clients, TCIFSC is a member of the Caribbean Financial Action Task Force (CFATF), a regional body of the Financial Action Task Force (FATF).
FATF sets international standards to combat money laundering, terrorism financing, and proliferation financing. It issues recommendations on preventing these types of financial crimes, which the commission is committed to implementing and regulating to the highest standard.
As TCIFSC continues to look toward the future of the financial services industry in TCI, it is looking to further its mission of maintaining public confidence in the lucrative industry alongside its vision of providing respected, fair, effective, and risk-focused regulation services to individuals and businesses looking to expand into the stunning island nation.
With beauty and economic prospects to embrace, TCI offers unfettered growth and opportunity in a one-of-a-kind tropical paradise.
“TCIFSC is undergoing a period of transition, with significant changes underway. The ability to drive this change, build a strong organizational culture, and achieve long-term growth is one of my core goals”
Kenisha Bacchus, Managing Director, Turks and Caicos Islands Financial Services Commission
Q&A WITH KENISHA BACCHUS, ACTING MANAGING DIRECTOR, TCIFSC
What is your take on the industry in TCI at the moment? Is it an exciting space to be working in, and have you identified any recent trends developing?
Kenisha Bacchus, Acting Managing Director (KB): “What drew me to the industry, and continues to keep me engaged, is the constant evolution.
“Whether it’s adapting policies to implement regulatory changes, embracing FinTech innovation, working to ensure financial sector stability and market confidence, or guiding stakeholders through the financial services landscape, I thrive in environments where strategic foresight and execution are equally critical.
“What drives me in this field is the dynamic nature of regulation – the need to interpret, adapt, and operationalize complex legal requirements in a way that aligns with objectives stemming from global best practices, domestic laws, and protects stakeholder interests.
“As Acting Managing Director, I see my role as not only driving outcomes but also mentoring talent, fostering a culture of accountability and innovation, and ensuring our stakeholders are well-positioned for long-term success.
“TCI’s financial services continue to grow, and we are actively working to modernize our financial services landscape as they play a crucial role in the country’s economy. The government has prioritized improving the ease of doing business and is implementing reforms to solidify TCI’s sound regulatory environment, within which businesses can operate.
“TCI’s economy is on an upward trajectory because of the stability of the US dollar, and it has one of the fastest GDP growth rates in the Caribbean.”
What elements of the commission are you most proud of?
KB: “We are proud of our efforts to protect the financial stability of the market. We continue to safeguard the public interest, ensuring financial services businesses operate ethically, transparently, and in compliance with laws that protect financial systems and societal well-being.
“There have been significant improvements in engagement with the financial services sector and other stakeholders, fostering collaboration.
“Over the past five years, TCIFSC has made significant strides in strengthening the monitoring and mitigation of risks that could trigger a financial crisis, including overseeing capital requirements and liquidity standards, as well as increasing efforts around stress testing for major institutions. We can promote market integrity by enforcing regulatory laws to ensure markets are fair, efficient, and trustworthy.
“A major part has been stepping up the enforcement of anti-money laundering (AML) and know your customer (KYC) rules, aimed at preventing the financial system from being used for illicit activities. These efforts underscore TCIFSC’s commitment to maintaining high regulatory standards that accord with global standards.
“Beyond this, TCIFSC is actively enhancing its regulatory effectiveness through strategic initiatives. These include a focus on digital transformation, renewed efforts to strengthen internal capabilities and build our team, and fostering a culture of continuous growth and development.
“In essence, our proudest achievement lies in enabling confidence – people’s assurance that their money and TCI’s economic outlook are being responsibly safeguarded.”
How do you empower your staff and recognize their contributions?
KB: “TCIFSC works to ensure staff have the confidence and tools required to make decisions and take ownership of their work. We have expanded our capacity to provide training opportunities for staff as a way of investing in our employees, enabling them to demonstrate confidence in performing their roles and build their competency.
“This investment in upskilling through courses, mentorships, or on-the-job learning is also important for creating mobility and succession planning opportunities. We believe that competence increases as our staff are empowered.
“We are working to create an environment that fosters the growth of innovative ideas and where employees feel comfortable suggesting ideas without fear of criticism. TCIFSC believes a supportive culture is key to empowering staff as it promotes collaboration, open communication, and respect for diversity of thought. This growth mindset recognizes that mistakes may occur, but this presents opportunities for growth and professional development.
“We have established a recognition program that boosts morale, reinforces positive behavior, and shows employees are valued. Some of the recognition initiatives include ad hoc and performance-based rewards and bonuses. There is also a peer recognition program based on nominations made by staff.”
TURKS AND CAICOS ISLANDS FINANCIAL SERVICES COMMISSION PARTNERS
