Barbados introduces legislation for national payments system

The government of Barbados has introduced new payments legislation to support the country's shift toward e-commerce and digital banking without jeopardizing financial stability.

The legislation comes amid a push by the government and financial authorities to reduce the use of cash, eliminate checks and promote increased competition in the payments system, according to a statement from the Central Bank of Barbados.

It is necessary for Barbados to have "a robust framework for the effective and secure operation of the national payments system capable of the smooth execution of both domestic and cross-border transactions," central bank Governor Cleviston Haynes said.

The central bank will oversee the payments system, and a payments council will be created to serve in an advisory capacity. A separate financial services tribunal will handle consumer complaints. The monetary authority said it will issue payments system-related guidance and regulations for financial institutions.