General Overview. Tonga was one of the fastest offshore jurisdictions to react to OECD’s outlined recommendations, and it improved its local legislation by adhering to international anti-money laundering standards. Even though Tonga officially abolished its offshore financial regime, it maintained financial intelligence and attractive business conditions for business world participants, and significant incentives are available to companies in different market segments.

Banking Sector. Banking sector is well regulated in Tonga and many international banks established their branch in this country. In order to conduct banking activity, a company must apply for and obtain a license there. In order to obtain a banking license, a company must demonstrate its minimum capital and liquidity capabilities, it must submit all the requested documents and have an adequate organizational model.