The Central Bank of Solomon Islands (CBSI) has rescinded the conditional approval it gave to BSP to acquire Westpac Banking Corporation Solomon Islands.
CBSI confirmed to SIBC News it made the decision on May 29th this year.
In an email confirming this today, the Chief Manager for Financial Market Supervision Department Raynold Moveni says the CBSI board made this decision because BSP did not have regulatory approvals from all five countries.
Mr Moveni says this was one of the key pre-conditions contained in BSP’s application to CBSI, and which the CBSI Board relied on heavily to arrive at its decision on May 29.
CBSI advises the public that Westpac’s banking licence still remains intact and not cancelled.
It says Westpac is still a licensed financial institution in Solomon Islands.
CBSI says Westpac will reinstate its systems and open for normal banking business soon.
SIBC News understands the five countries Westpac currently operates in include Samoa, Cook Islands, Solomon Islands, Vanuatu and Tonga.
BSP reportedly entered into an agreement to acquire the banking operations of Westpac in these countries for AUD$125 million.