Law No. 480-08 that enables the creation of International Financial Zones (IFZs) specifically designed for the provision of financial services and other related activities has been approved by the Congress and promulgated by the President of the Dominican Republic. Applicable only to designated geographical areas called IFZs, this law creates a new, best of class regulatory environment, with provisions for the effective regulation and protection of the users of the International Financial Zones.
This Law establishes a new framework which takes into consideration globally recognized best practices and internationally accepted standards. Transparency, compliance, governance, risk management, anti-money laundering and anti-terrorist financing are among the issues that have been strongly addressed in the legislation. This robust yet adaptable framework will offer the international financial community a secure and regulated jurisdiction in the heart of the Americas from which to conduct their business.
Most importantly, this Law creates a new regulatory entity, known as the National Council of International Financial Zones, designed and structured as a result of careful study of the best practices of regulatory authorities around the world, the observation of the significant shifts in regulatory priorities in recent times and the analysis of the national legal system. The result is a regulatory framework that is designed to work with the International Financial Zones and its users to enable the efficient and transparent practice of fair business.
