Assembly approves changes to modernise CBS operations |12 December 2011

The Assembly also approved amendments to the Revenue Commission Act, 2009, the Revenue Administration Act, 2009 and the Companies Ordinance, 1972.

Vice-President Danny Faure, in his capacity as Minister for Finance and Trade, presented all the amendments to the National Assembly.

The Central Bank of Seychelles Amendment Bill, 2011 is seeking to amend the Act to enable it to remove existing vulnerabilities in order to further improve the independence, transparency and accountability of the CBS.

Presenting the amendments, Minister Faure described them as fundamental and important for the future of the CBS.
The amendments provide among many other things for the CBS to:

• modernise its system relating to loans disbursements,
• clarify and consolidate the terms under which the government can borrow money,
• consult the Minister for Finance and Trade instead of the President of the Republic as is presently the case with regard to any regulations it needs to put in place,

• appoint a second deputy governor and another board member to bring the number to eight.
Minister Faure said the amendments will also raise the standards of the CBS and bring the institution to international level and its regulations on par with other jurisdictions.

With regard to the appointment of a second deputy governor, Mr Faure said this would allow for more flexibility in the CBS operations when the governor and first deputy have to represent the country in international forums or are discharging other responsibilities.

He noted that being responsible for the CBS is becoming more and more challenging and entails more duties. He further stressed that while the amendments will allow for the CBS to meet the new demands and requirements of an evolving society, they will not compromise the institution’s confidentiality and measures put in place to review its monetary policies.

Regarding the Revenue Commission Amendment Bill, 2011, Mr Faure said it will improve the existing system and provide the necessary legal framework to allow for other authorities locally or otherwise to access information relating to tax treaties Seychelles have signed.

As for the Revenue Administration Amendment Bill, 2011, Mr Faure noted that it is very important as it will further improve Seychelles’ relations with the Organisation for Economic Co-operation and Development (OECD).

Mr Faure said Seychelles has done a lot to remain on the OECD white list and the amendment further allows the country to meet the norms and requirements of the OECD.

With regard to the Companies Ordinance Amendment Bill, 2011, Mr Faure said it will amend section 90 of the Companies Ordinance , 1972 and  repeal section 104 to prohibit the issuance of bearer share and bearer debentures.