The Reserve Bank of Fiji (RBF) will be given broader powers to sanction authorised dealers under proposed amendments to the Exchange Control Act 1950, aimed at strengthening exchange control enforcement.
The Exchange Control (Budget Amendment) Bill 2026 proposes empowering the Reserve Bank to impose sanctions where authorised dealers fail to comply with exchange control laws, regulations, directives and other requirements.
Under Clause 3 of the Bill, the Reserve Bank would be able to impose sanctions on authorised dealers for breaches of regulations, rules, orders, directions, guidelines or notices issued under the Act or any other written law relating to exchange control.
The Bill also introduces a new Section 45, setting out the circumstances in which sanctions may be imposed.
These include failing to properly carry out transactions or verify documentation, facilitating transactions outside delegated authority without prior Reserve Bank approval, submitting reports late, providing false or misleading information, or refusing to provide information or documents required by the Reserve Bank.
Where breaches occur, the Reserve Bank may impose an initial fine of up to $5,000, with continuing penalties of up to $1,000 per day while the contravention continues.
The Reserve Bank will also be able to direct authorised dealers, in writing, to take specified corrective actions.
According to the Bill’s explanatory note, the amendments are designed to strengthen the Reserve Bank’s regulatory framework.
“The Exchange Control (Budget Amendment) Bill 2026 seeks to amend the Exchange Control Act 1950 to strengthen the regulatory and operational framework of the Reserve Bank of Fiji in relation to exchange control under the Act.”
The explanatory note further states:
“Clause 3 of the Bill amends section 36 of the Act to allow the Reserve Bank of Fiji to impose sanctions on authorised dealers for certain contraventions under the Act or any other written law.”
If passed by Parliament, the amendments will come into force on 1 August 2026.
