Our Principal Functions
The Cayman Islands Monetary Authority has four principal functions:
Monetary - The issue and redemption of Cayman Islands currency and the management of currency reserves.
Regulatory - The regulation and supervision of financial services, the monitoring of compliance with money laundering regulations, the issuance of a regulatory handbook on policies and procedures and the issuance of rules and statements of principle and guidance.
Cooperative - The provision of assistance to overseas regulatory authorities, including the execution of memoranda of understanding to assist with consolidated supervision.
Advisory - The provision of advice to the Government on monetary, regulatory and cooperative matters.
Among the Monetary Authority's obligations in carrying out its functions are the requirements to:
- act in the best economic interests of the Cayman Islands;
- promote and maintain a sound financial system in the Cayman Islands;
- use its resources in the most efficient and economic way;
- have regard to generally accepted principles of good corporate governance;
- endeavor to promote and enhance market confidence, consumer protection and the reputation of the Cayman Islands as a financial centre;
- reduce the possibility for the use of financial services business for money laundering or other crime;
- recognise the international character of financial services/markets and the need to be competitive for consumers and suppliers while complying with appropriate and relevant international standards;
- recognise the principle that a burden or restriction that is imposed should be proportionate to its expected benefits;
- recognise the desirability of facilitating innovation in financial services business;
- be transparent and fair.
The Authority's principal functions, and its obligations, are listed in section 6 of the Monetary Authority Law (2010 Revision).