Loading ...REGULATORY FRAMEWORK –> Foreign Exchange Control
The National Reserve Bank of Tonga (NRBT) establishes the value of the Tongan Pa’anga daily by reference to a weighted basket of currencies of Tonga’s most important partners in foreign trade and payments transactions. The NRBT quotes daily buying and selling rates for the US dollar against the Tongan pa’anga. These rates generally form the basis of the commercial banks’ publicly quoted foreign exchange dealing rates.
Interest Rates
Interest rates are determined by the market. The NRBT’s Prudential Statement No. 4, Disclosure of Interest Rates and Fees & Charges (effective 2 August 2007), requires banks to publicly disclose the interest rates and fees and charges relating to their products and services. The general public should be clearly informed of the interest rates and fees and charges to enable them to compare between various services/products and providers. This in turn fosters competition and market discipline.Relevant contacts & links: National Reserve Bank of Tonga’s Exchange Control Policy Guidelines on the following link:-
http://www.reservebank.to/docs/econtrol/ECPOLICYGUIDELINESDecember2006.pdf
