General Overview. Offshore services bring the second largest income to the government after tourism, thus being a very important economic segment.  In the recent years local financial regulations were amended, in order to make them correspond to international standards, and this offshore jurisdiction has been internationally recognized as a country which adheres to international financial regulation requirements.

Banking Sector.  Domestic, International and Restricted International banking license categories exist and may be obtained in Cook Islands.  The banking regulations are constantly reviewed, and a license may be revoked from those institutions, which are not able to comply with the required standards.

Insurance Companies. Licenses of Categories A, B or C may be issued to insurance company applicants, depending on which type of business a company plans to conduct  - domestic and international, domestic or international business. Offshore insurance company formation is well regulated and at the same time flexible and efficient in Cook Islands. The company must pay an annual license fee and must comply with minimum capital requirements.

Trusts. Trusts are called International Trusts in Cook Islands. Each offshore trust must have a local registered and licensed trustee. The International Trusts Act provides a detailed description of the procedures and requirements for a company which wishes to obtain a trustee license in Cook Islands.