What are the legal/regulatory requirements to start a bank?

[Kross]

Banks are companies that provide one sort of financial services to people. Different countries have legal requirements that a proposed banking institution must meet.

Generally, a bank must be a public limited company. It must have a fixed capital base determined by the regulator and it must be registered.

What other specific legal and regulatory requirements are needed to start a bank in your country?

 

[King Belieal]

Banks are bound by law to have a board of directors that is publicly known before it takes off operations. They must have a reserve ratio and the deposits of customers nust be insured for them to start.

 

[Suba]

True, a bank is a type of company, a public limited company, and has a minimum of 30% paid-up capital. After the requirements have been examined by the central bank, they must also obtain permission from the Minister of Finance. Also a list of shareholders, board of directors, organizational structure, work plan etc.