Governor: Bahamians Fully Covered on Banking Failures
The Central Bank's governor, John Rolle, stated that planned legal reforms will increase Bahamian consumer confidence in receiving "swift payouts of all insured deposits" in the event of a bank collapse.
Proposed changes to the Protection of Depositors Act will create "dedicated back-up funding" for the Deposit Insurance Corporation and provide it with "greater liquidity" to compensate Bahamians if their banking institution fails.
The "back-up" regime will ensure rapid payouts of all insured deposits and prevent the Deposit Insurance Corporation from exhausting its reserves, which stood at $101.5m at the end of 2024.
This added layer of protection will give Bahamian depositors greater confidence that their financial well-being is protected in the worst-case scenario.
Author's summary: Governor ensures Bahamians' bank deposits are secure.