Bank reform: Finance Minister, Dr. Nigel Clarke, hints at new financial regulations.

 

Jamaica's Finance Minister, Dr. Nigel Clarke

 Dr. Nigel Clarke, Minister of Finance, has hinted in an online forum hosted on Twitter, that there will be new regulations coming that should protect the Jamaican consumers in the financial space.

Dr. Clarke said:

"The government of Jamaica will be tabling very shortly sweeping regulatory that provides consumer protection, and I'll probably say more about that later. With respect to fees and banking fees, one of the things that is happening in our society today but we're not, uh... we don't, we're not conscious of it as a society is a shift away from brick and mortar into electronic and digital realm, and what has been happening is that the sector that is at the forefront of that transition is actually the banking sector."

Dr. Clarke recently received scathing criticism from PNP Members of Parliament Fitz Jackson  

 and Lisa Hanna for what they claim is the government's seeming defense of the banking sectors' exorbitant bank fees and charges. MP Jackson accused Dr. Clarke of being a spokesperson for the banks. 

The Finance Minister however noted that regulation of bank fees could lead to a decline in the quality of service that would be provided to the consumer. Instead, the Minister indicated that what the government could do is ensure that there is greater transparency in the banking experience for consumers.  

Dr. Clarke also hinted that with the new consumer protections to come, the customer will be better protected. He revealed that the new regulations will allow consumers to lodge complaints with a financial regulatory body, have those complaints addressed and the financial institution would face punitive action for any breach of service to the customer. 

Dr. Clarke:

"So people will be able to lodge complaints at a central authority, have those complaints addressed and have punitive action against [a] financial institution if under investigation of those complaints that action is justified, today that's not possible, that avenue does not exist. So this consumer protection for financial services will be a game-changer in how... in the accountability of financial services. As I said in my tweet, what we're doing is swinging the pendulum in favor of the consumer."