Exploring the Best Caribbean Banks

The Caribbean region offers unique opportunities for banking and financial services that attract individuals and investors from around the world. Whether you are a resident, visitor, a business owner, or an investor, you may want to learn more about the Caribbean banking sector.

This article with focus on banks in key Caribbean economies, including Jamaica, Barbados, and St Kitts and Nevis. We tell you what you need to know about Caribbean banks, consider the advantages and challenges of banking in the Caribbean, and answer some frequently asked questions on the topic.  

Why bank in the Caribbean?

Depending on who you are and your personal or professional goals, there are many reasons you may want to bank in the Caribbean.

Residents: If you are a Caribbean resident, you will need the convenience of a local bank account to manage your daily transactions, pay bills, save money, receive salaries, and access credit.

Visitors: If you visit the Caribbean region for tourism, business, or other purposes, you may want to use national banks to facilitate transactions.

Business owners: If you operate a business in the Caribbean or trade with Caribbean partners, you may open a bank account to support your operations in Caribbean economies. You can use your bank account to pay suppliers, move capital, receive payments from customers, access loans, and invest in opportunities. You can also benefit from the favorable tax regime and regulatory environment in some of the Caribbean countries.f

Investors: Individuals seeking investment opportunities will be pleased to know that the Caribbean is a stable and high-yielding environment experience economic growth. If you are interested in investing in the Caribbean or diversifying your portfolio, you may want to open a bank account to access various financial products and services. You can use your bank account to buy stocks, bonds, mutual funds, or other securities offered by local or international banks. You can also take advantage of the offshore banking options available in some territories.

Can foreigners bank in the Caribbean?

Yes, foreigners can open accounts in Caribbean banks, subject to certain requirements and procedures. Depending on the country and the bank, you may need to provide documents such as your passport, proof of address, proof of income, reference letter from your home bank, and other information. You may also need to make a minimum deposit or maintain a minimum balance in your account. Some banks may allow you to open an account online or remotely, while others will require you to visit a branch in person.

One of the ways to facilitate your banking experience in the Caribbean is to obtain citizenship by investment (CBI) in Antigua and Barbuda, Dominica, Grenada, St Kitts and Nevis, or St Lucia. These countries offer attractive CBI programs that allow you to acquire their citizenship and passport in exchange for a qualifying donation or investment. With citizenship, you can enjoy visa-free travel to over 140 countries including the European Union and United Kingdom, and low tax rates. Moreover, you can access their system more easily and benefit from greater financial privacy and protection.

The Eastern Caribbean Banking System

The five countries mentioned above — Antigua and Barbuda, Dominica, Grenada, St Kitts and Nevis, and St Lucia — are all members of the Organization of Eastern Caribbean States (OECS), an inter-governmental organization established in 1981 to promote cooperation among member states. The Eastern Caribbean Currency Union (ECCU) was developed from that organization, and it is supervised by the Eastern Caribbean Central Bank (ECCB).  

The ECCB and Eastern Caribbean Currency Union are the monetary authorities for all eight OECS member countries and issues their currency which is the Eastern Caribbean Dollar, also known as EC or XCD. It’s also responsible for formulating and implementing monetary policy to keep the value of the XCD stable, regulates all banks and institutions licensed within the ECCU, and ensures a secure and efficient payment system. 

The Eastern Caribbean Dollar is currently pegged at EC$2.70 to US$1.  

Financial institutions and services

The Caribbean has a mix of international, regional, and local banks, credit unions, and financial cooperatives providing financial support. These financial institutions provide commercial banking services for individuals and businesses while institutions like the Caribbean Development Bank serves Caribbean governments.

The services offered include the usual array of financial services provided by banks around the world including:

• Personal and corporate banking
• Savings and checking accounts
• Loans
• Investments
• Credit facilities

International banks

There are two international institutions with operations in multiple countries around the world that currently operate in the Eastern Caribbean countries of Dominica, Grenada, St Kitts and Nevis, and St Lucia. They are Scotiabank and the Royal Bank of Canada. Both banks have branches in these four territories and offer a range of services similar to those offered in their other global branches. Up until 2021, both banks also had operations in Antigua, but ACB Caribbean took over Royal Bank of Canada’s operations while Scotiabank was sold to Eastern Amalgamated Bank.

Offshore banking

Offshore banking allows individuals and businesses to open bank accounts in countries in which they do not reside or conduct business. It offers a high level of privacy, potential tax benefits, asset protection, and access to a range of investments.

Antigua and Barbuda, Dominica, Grenada, St Kitts and Nevis, and St Lucia all offer offshore banking services through various banks who have international banking licenses and can perform transactions in various currencies. For example, the Global Bank of Commerce in Antigua and Barbuda, and Hermes Bank in St Lucia.

Currencies

The main currency used in Antigua and Barbuda, Dominica, Grenada, St Kitts and Nevis, and St Lucia is the Eastern Caribbean Dollar which, as mentioned above, is pegged to the US dollar at a fixed rate of XCD 2.70 to US$1. This provides a high level of stability and predictability for transactions and investments. For more flexibility and diversity, you might opt to open accounts in other currencies such as USD, EUR, GBP, CAD, etc.

Cryptocurrency

While some Caribbean governments and central banks have expressed interest in exploring the use of cryptocurrency, and some countries have exchanges that will buy Bitcoin and other cryptocurrencies, no Caribbean banks currently accept cryptocurrency for bank transactions.

How to Choose a Top Bank for Opening an Account in the Caribbean 

Choosing a quality bank in the Caribbean will require some due diligence and involve the careful consideration of several factors. Once you have determined your individual and business needs and goals you will want to consider the following: 

• Services offered: Do they offer the services you need? This may include international wire transfers, online banking, and mobile banking. 
• Types of accounts: Do they have the types of accounts you are looking for? Some banks specialize in certain types of accounts so choose one that aligns with your needs whether it is savings, checking, business, investment, etc. 
• Reputation and financial stability: Seek out well-established, reputable banks. Look for banks that have a history of stability, are in good financial standing, and have a high level of customer service. Online customer reviews and recommendations from those who have experience with the bank are particularly helpful. 
• Regulatory compliance: Ensure that the bank is licensed to operate. In the case of Antigua and Barbuda, Dominica, Grenada, St Kitts and Nevis, and St Lucia, the bank would have to be licensed by the Eastern Caribbean Central Bank. An ECCB license ensures strict compliance and ethical standards are met. 
• Currencies: Check the currency options available at the bank. If you plan to deal with different currencies, you will need a bank that offers multi-currency accounts. 
• Fees and charges: Review the fee structure of the bank and compare it with other banks. Maintenance fees, transaction charges, ATM fees, and other applicable costs can add up depending on your activity. 
• Interest rates: Shop around for the best interest rates since these can vary significantly from bank to bank and other institutions like credit unions may offer better interest rates on savings and loans.  
• Accessibility, security, and privacy: Consider the availability of ATMs, branch locations for in-person services, online and mobile banking services. Convenience may be a top priority, especially if you spend limited time in the country. Accessibility and user-friendliness of online platforms are crucial, as is security and the peace of mind that comes from knowing your financial information is protected. 

 Banking in Antigua and Barbuda 

Antigua and Barbuda’s banking sector showcases stability and performance, regulated by the Eastern Caribbean Central Bank. Major banks offer a range of services catering to residents and international investors alike.

Banks operating on the island of Antigua include:

• ACB Caribbean
• Caribbean Union Bank
• Eastern Caribbean Amalgamated Bank
• Global Bank of Commerce
• CIBC FirstCaribbean International Bank

 Banking in Dominica 

Dominica’s banking sector, also regulated by the ECCB, presents opportunities for both local residents and international investors. Major banks provide a diverse suite of financial services.

Some banks operating in Dominica include:

• National Bank of Dominica
• Republic Bank
• Royal Bank of Canada
• CIBC FirstCaribbean International Bank
• Scotiabank (Bank of Nova Scotia)
• Commonwealth Bank and Trust
• Paxum Bank

 Banking in Grenada 

Grenada’s banking sector boasts a strong regulatory framework and a variety of services tailored to the needs of residents and investors. 

Some banks operating in Grenada include: 

• ACB Grenada Bank 
• CIBC FirstCaribbean International Bank 
• Republic Bank (Grenada) – formerly National Commercial Bank
• Grenada Cooperative Bank 
• Royal Bank of Canada  

Banking in St Kitts and Nevis 

Banks in St Kitts and Nevis provide a robust banking system, regulated by the ECCB, ensuring a stable financial environment for residents and global investors.

Some banks operating in St Kitts and Nevis include:

• St Kitts-Nevis-Anguilla National Bank
• Bank of Nevis
• Hamilton Reserve Bank
• Royal Bank of Canada
• Scotiabank
• CIBC FirstCaribbean International Bank

 Banking in St Lucia 

St Lucia’s banking sector, overseen by the ECCB, offers a range of services provided by major banks, contributing to a thriving economic landscape.  

Some banks operating in St Lucia include: 

• Bank of St Lucia 
• First National Bank of St Lucia (formerly St Lucia Cooperative Bank) 
• Hermes Bank 
• Republic Bank 
• CIBC FirstCaribbean International Bank 
• Scotiabank 
• Royal Bank of Canada 
• Berkeley Bank & Trust 
• Euro Exim Bank 

Comparing Caribbean Banks 

The Caribbean Association of Banks

The Caribbean Association of Banks (CAB) represents over 80 Caribbean member institutions with assets totaling over $41 billion. The CAB advocate for the interests of its member institutions across the 20 Caribbean states. As a collective voice for the banking sector, the CAB works to promote best practices, and collaboration, and address common challenges faced by members in the region.

Membership encompasses three primary categories: General, Service, and Associate members, in addition to honorary membership, which includes the Caribbean Development Bank.

Advantages of Banking with Caribbean Banks

• Local access and expertise: Easily accessible for residents and business owners within the region. National banks also have specialized knowledge of the local economy, markets, and regional networks. This is especially beneficial for individuals and businesses looking to invest in the Caribbean.
• Offshore banking: Provides a secure and private banking option for those seeking asset protection and diverse investment options. Banking in these jurisdictions can provide access to services like wealth management, trusts, and other specialized financial products.
• Reliability: The largest banks in the Caribbean provide reliable banking services to their customers, including but not limited to wealth and estate management, asset management, tax planning, and investment services.
• Privacy: These banks’ strict privacy policies are beneficial for clients who place a high value on confidentiality in their financial transactions.
• Customer support and service: Personalized service is a common advantage of smaller banks. Specially tailored services are common, and clients have direct access to decision-makers, allowing for a more individualized approach to banking.
• Stability: The Eastern Caribbean Dollar is a stable currency and one of the strongest in the Caribbean. It has been pegged to the US dollar since 1976 at an exchange rate of US$1 to EC$2.70, affording confidence in its purchasing power.
• Diverse investment opportunities: Some Caribbean economies may offer diverse investment opportunities, ranging from real estate and tourism to agriculture and renewable energy. Local banks can provide valuable insight and support for those looking to invest in these sectors.
• Lower fees: Compared to larger multinational banks, the best banks in the Caribbean may have lower fees and charges, particularly for everyday banking transactions.

How to Open a Caribbean Bank Account

Foreign nationals and residents can open accounts to use the services of Caribbean banks. The process of opening an account for a foreign national and non-CARICOM citizen typically takes longer. A list of Caribbean banks usually accept online documents. However, a foreigner may need to provide additional documentation, depending on the bank.

Caribbean bank account activation time and service fee in USD

Challenges of Banking with Caribbean Banks

• Pace: Processes may be slower compared to larger financial hubs.
• Bureaucracy: Some bureaucratic hurdles may be encountered due to regulatory and compliance requirements.
• Cost: Certain specialized services may come with higher associated costs.
• Product offerings: Some banks may have a narrower range of financial products on offer compared to larger international institutions. This could limit options for specialized financial products and services that may be available elsewhere.
• Access to international markets: Caribbean commercial banks may have limited access to international financial markets, which can impact their ability to offer certain services like international trade financing, currency hedging, or access to a wide range of investment products.
• Economic stability and risk: Caribbean economies can be more susceptible to external shocks, such as hurricanes, global economic volatility, or disruptions in tourism, which may affect the stability of the banking sector.

How Can Global Citizen Solutions Help You?

Global Citizen Solutions is a boutique migration consultancy firm with years of experience delivering bespoke residence and citizenship by investment solutions for international families. With offices worldwide and an experienced, hands-on team, we have helped hundreds of clients worldwide acquire citizenship, residence visas, or homes while diversifying their portfolios with robust investments. 

We guide you from start to finish, taking you beyond your citizenship or residency by investment application. 

Frequently Asked Questions

What is the best bank in the Caribbean?

The best bank for any individual or business is subjective and will depend largely on individual needs, preferences, and intended activities or business goals within and outside the region. We recommend that you conduct thorough research on banking options and seek professional advice.  

Why are banks leaving the Caribbean?

Over the last five years, two Canadian banks have withdrawn operations from parts of the Caribbean. There are several factors that may influence a bank’s decision to cease operations in any region or territory. They may include regulatory changes and evolving global economic trends that make the move economically beneficial.

The Canadian bank exits, for example in Antigua and Barbuda, were driven by a heightened level of risk associated with maintaining compliance protocols and the threat of natural disasters, primarily hurricanes which have increased in frequency in the past decade. The cost of doing business may have outstripped the returns that could be realized in a different market with a more robust economic framework.

Can I open a bank account with a Caribbean Bank?

Absolutely. Caribbean economies are actively welcoming foreign investors and for the most part have streamlined processes for opening bank accounts. However, requirements may vary from bank to bank.

last year

What is the number one bank in the Caribbean?

According to Global Finance Magazine, Banreservas was voted as the best Caribbean bank. Scotiabank (Bank of Nova Scotia) also received votes for the Caribbean’s best bank.