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The Laws of Fiji

[NPS 15] Grant, renewal, suspension and revocation of a licence15 

15
(1) The Reserve Bank, on being satisfied that the requirements in section 13(2) are complied with, and that an applicant meets the specific criteria prescribed by the Reserve Bank, may grant a licence to the applicant to—
  • (a)provide a payment service; or
  • (b)operate a payment system,

on such terms and conditions as the Reserve Bank deems necessary.

(2) In order to obtain a licence to provide a payment service or operate a payment system, an applicant may be required to maintain capital levels specified by the Reserve Bank.
(3) The capital levels referred to in subsection (2) are to be determined by the type of service, average value of payments, aggregate value of payments and other factors that the Reserve Bank deems necessary.
(4) If the Reserve Bank refuses to license a person that has applied under section 13(1), the Reserve Bank must record the reasons for the decision and provide a copy of the decision, including the reasons for the decision, to the applicant within 30 days.
(5) A licence granted by the Reserve Bank in accordance with subsection (1) may be renewed by the Reserve Bank on such terms and conditions as the Reserve Bank deems necessary.
(6) A licence granted in accordance with subsection (1) may be suspended or revoked by the Reserve Bank in any of the following circumstances—
  • (a)failure by the licensee to comply with any directive issued by the Reserve Bank under this Act, any regulations made under this Act or any other written law;
  • (b)if in the opinion of the Reserve Bank, the licensee has ceased to carry on a payment service or has ceased to act as an operator;
  • (c)the licensee does not fully disclose or fails to satisfactorily disclose information required by the Reserve Bank under this Act or any regulations made under this Act;
  • (d)the licensee goes into liquidation, is wound up or otherwise dissolved;
  • (e)the licensee fails to commence business within the time specified by the Reserve Bank;
  • (f)the licensee obtained the licence through the provision of incorrect information to the Reserve Bank or any other irregular means;
  • (g)the licensee no longer meets the applicable criteria for the grant of a licence;
  • (h)the operation of the payment system for which the licence was granted endangers the stability of the payment or financial system in Fiji; and
  • (i)in the opinion of the Reserve Bank, the operation of the payment system is no longer in the public interest or the payment system no longer represents the interests of its participants.
(7) The Reserve Bank may exempt any person providing a payment service from complying with the licensing requirements under this Act.
(8) A person exempted by the Reserve Bank under subsection (7) is required to—
  • (a)comply with any operational, reporting and disclosure requirements as may be set by the Reserve Bank, and is subject to oversight requirements for licensed entities under this Act and any regulations made under this Act; and
  • (b)where the person is a financial institution that endeavours to operate a payment system, comply with the licensing and registration requirements under this section.
(9) A licence or any right acquired in accordance with this Act is not transferable except as may be prescribed by the Reserve Bank, and any transfer in contravention thereof is void.
(10) The Reserve Bank may, for the purposes of this Act, amend any condition of any licence issued under this Act.
(11) The Reserve Bank must give notice to the licensee of its intention to amend and the reasons for the proposed amendment, and provide the licensee with 15 days to review the proposed amendment.
(12) The Reserve Bank must, on receipt of any representation from the licensee in relation to the proposed amendment, consider the representation before deciding to confirm or modify the proposed amendment.
(13) The Reserve Bank may, on application of a licensee, amend any condition of a licence if the Reserve Bank considers the proposed amendment reasonable.
(14) The Reserve Bank may, in the case of a financial institution, substitute the requirement for licensing with registration, if it determines that the financial institution does not pose significant risks for the market or strongly compromise competition.
(15) A financial institution registered under subsection (14) may be required to comply with operational, reporting and disclosure requirements as may be determined by the Reserve Bank, and may be subject to oversight requirements as may be determined by the Reserve Bank.