Update on minimum capital requirements in Nicaragua´s financial institutions

In February of this year, the Superintendence of Banks and Other Financial Institutions of Nicaragua (SIBOIF) published regulations updating the minimum capital requirements for the following financial institutions:

The minimum capital requirement for financial institutions is initially outlined in the laws applicable to each institution and is updated every two years through prudential regulations published by the SIBOIF.

The updating regulations also govern the deadlines for each operating financial institution to update its minimum capital. Newly established institutions must comply with the minimum capital requirement published in the current regulation at the time of their establishment.

Other financial institutions supervised by the SIBOIF that have not recently undergone an update in their minimum capital requirement include the following:

There are also different minimum capital requirements for insurance institutions, depending on the insurance group they operate within:

The last update of the minimum capital requirements for insurance institutions was in November 2022, and it must also be updated by the SIBOIF at least every two years.

It is worth mentioning that the amount set for each minimum capital is in córdobas, the legal currency of Nicaragua. Its equivalent in dollars or any other foreign currency should be calculated according to the official exchange rate in effect at the time of the transaction.

If you require further information regarding the minimum capital requirements for financial institutions and their process of establishment and operation, please do not hesitate to contact us at contact@consortiumlegal.com.