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IMF Country Report No. 22/319

SEYCHELLES

CENTRAL BANK TRANSPARENCY CODE REVIEW

September 2022

This paper on Seychelles was prepared by a staff team of the International Monetary Fund. It is based on the information available at the time of the mission and it was completed on September 16, 2022.

Copies of this report are available to the public from

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© 2022 International Monetary Fund

Title page

SEYCHELLES

CENTRAL BANK TRANSPARENCY CODE REVIEW

DETAILED REVIEW REPORT

September 16, 2022

Prepared By

Monetary and Capital Markets Department

This report was prepared based on the work of a hybrid IMF mission to Seychelles in June-July 2022. The IMF team for the Central Bank Transparency Code (CBT) Review mission was led by Dmytro Solohub (MCM) and comprised Matevz Zbasnik (FIN); Jonathan Pampolina (LEG); and Natia Gvazava, Elias Kazarian, Bernard Laurens, and Marcela Matamoros (IMF External Experts); and overseen by the Monetary and Capital Markets Department (MCM) at the IMF.

The production assistance was provided by Julie Vaselopulos. The team extends its warm appreciation to the Board, senior management, and staff of the Central Bank of Seychelles, who provided excellent cooperation, and to outside stakeholders and interested public for their valuable views and insights.

Contents

  • Glossary

  • EXECUTIVE SUMMARY

  • A. Key Recommendations

  • SCOPE AND OBJECTIVE

  • APPROACH AND METHODOLOGY

  • BACKGROUND

  • MAIN FINDINGS

  • A. Pillar I. Transparency in Governance

  • B. Pillars II, III, and IV. Transparency in Policies, Operations, and Outcome

  • C. Pillar V. Transparency in Official Relations

  • AUTHORITIES’ RESPONSE TO DETAILED REVIEW REPORT

  • BOXES

  • 1. COVID-19 Measures Taken by CBS and Their Unwinding

  • 2. Transparency of Financial Inclusion

  • TABLES

  • 1. Central Bank Transparency Overview for Central Bank of Seychelles

  • 2. CBT Review—Detailed Review Report for Central Bank of Seychelles

  • APPENDICES

  • 1. Central Bank of Seychelles—Proposed Action Plan

  • 2. List of CBS Units and External Stakeholders

Glossary

AFI

Alliance for Financial Inclusion

AML/CFT/CPF

Anti-Money Laundering/Countering the Financing of Terrorism/Countering Proliferation Financing

AREAER

IMF Annual Report on Exchange Arrangement and Exchange Restrictions

ATIA

Access to Information Act

BSD

Banking Services Division

CBS

Central Bank of Seychelles

CBT

IMF Central Bank Transparency Code

DAA

Deposit Auction Arrangement

EFF

IMF Extended Fund Facility

ELA

Emergency Liquidity Assistance

ELF

Emergency Loan Facility

FCPA

Financial Consumer Protection Act

FEA

Foreign Exchange Auction

FIA

Financial Institutions Act

FIMCD

Financial Inclusion and Market Conduct Division

FIU

Financial Intelligence Unit

FMD

Financial Markets Division

FMI

Financial Market Infrastructure

FPAS

Forecasting and Policy Analysis System

FSA

Financial Services Authority

FSC

Financial Stability Committee

FSD

Financial Surveillance Division

FSP

Financial Services Provider

FSR

Financial Stability Report

FX

Foreign Exchange

FXI

Foreign Exchange Interventions

IC

Information Commissioner

IRC

Interest Rate Corridor

IT

Inflation Targeting

ML/TF

Money Laundering/Terrorism Financing

MoU

Memorandum of Understanding

MPF

Monetary Policy Framework

MPR

Monetary Policy Rate

MPTC

Monetary Policy Technical Committee

MRR

Minimum Reserve Requirement

MSME

Micro, Small, and Medium Enterprises

OMO

Open Market Operations

RFI

Rapid Financing Instrument

RSD

Research and Statistics Division

SAA

Strategic Asset Allocation

SCF

Standing Credit Facility

SDF

Standing Deposit Facility

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Seychelles: Central Bank Transparency Code Review
Author:
International Monetary Fund. Monetary and Capital Markets Department