{"id":42924,"date":"2025-06-23T00:00:03","date_gmt":"2025-06-23T06:00:03","guid":{"rendered":"https:\/\/garciabodan.com\/?p=42924"},"modified":"2025-09-29T17:50:03","modified_gmt":"2025-09-29T23:50:03","slug":"nicaragua-will-regulate-financial-leasing-companies","status":"publish","type":"post","link":"https:\/\/garciabodan.com\/en\/nicaragua-will-regulate-financial-leasing-companies\/","title":{"rendered":"Nicaragua will regulate financial leasing companies"},"content":{"rendered":"<p><span data-contrast=\"auto\">The Board of Directors of the Monetary and Financial System (CDMF) has issued Resolution CDMF-XIX-3-25, approving the Regulation on the Authorization and Oversight of Financial Leasing Entities (EAFs). The regulation came into effect on June 18, 2025, with the aim of establishing a clear and effective regulatory framework for companies engaged in financial leasing in Nicaragua.<\/span><span data-ccp-props=\"{&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/p>\r\n<p><span data-contrast=\"auto\">The regulation expands on provisions in Law No. 977, the Law Against Money Laundering, Terrorism Financing, and Financing of the Proliferation of Weapons of Mass Destruction, and its amendments, as well as Law No. 1232, the Law on the Administration of the Monetary and Financial System. It also strengthens control mechanisms over the non-bank financial sector, particularly regarding transparency, risk management, and anti-money laundering (AML) and counter-terrorism financing (CTF) compliance.<\/span><span data-ccp-props=\"{&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/p>\r\n<p><b><span data-contrast=\"auto\">Establishment and authorization<\/span><\/b><span data-ccp-props=\"{&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/p>\r\n<p><b><span data-contrast=\"auto\">Financial Leasing Entities (EAFs) must be incorporated as<\/span><\/b> <b><span data-contrast=\"auto\">single-purpose corporations<\/span><\/b><strong> with a <\/strong><b><span data-contrast=\"auto\"><strong>mi<\/strong>nimum share capital of C$20 million c\u00f3rdobas (US $544,217.69)<\/span><\/b><span data-contrast=\"auto\">. <\/span><span data-contrast=\"auto\">They must meet strict technical, legal, and administrative requirements before beginning operations.<\/span><span data-ccp-props=\"{&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/p>\r\n<p><span data-contrast=\"auto\">Additionally, they are subject to internal and external audits following guidelines issued by the Superintendency of Banks and Other Financial Institutions (SIBOIF).<\/span><span data-ccp-props=\"{&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/p>\r\n<p><span data-contrast=\"auto\">Financial leasing contracts must contain minimum conditions, including interest rates, terms, fees, details of the leased assets, and options to purchase or extend the contract upon expiration.<\/span><span data-ccp-props=\"{&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/p>\r\n<p><span data-contrast=\"auto\">The regulation also empowers the Superintendency to:<\/span><span data-ccp-props=\"{&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/p>\r\n<ul>\r\n\t<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"17\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;multilevel&quot;}\" data-aria-posinset=\"1\" data-aria-level=\"1\"><span data-contrast=\"auto\">Impose sanctions,<\/span><span data-ccp-props=\"{&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/li>\r\n<\/ul>\r\n<ul>\r\n\t<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"17\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;multilevel&quot;}\" data-aria-posinset=\"2\" data-aria-level=\"1\"><span data-contrast=\"auto\">Order the cessation of operations in cases of serious non-compliance, and<\/span><span data-ccp-props=\"{&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/li>\r\n<\/ul>\r\n<ul>\r\n\t<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"17\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;multilevel&quot;}\" data-aria-posinset=\"3\" data-aria-level=\"1\"><span data-contrast=\"auto\">Issue additional risk management and reporting guidelines, including mandatory information sharing with the Credit Risk Center.<\/span><span data-ccp-props=\"{&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/li>\r\n<\/ul>\r\n<p><b><span data-contrast=\"auto\">Transitional regime<\/span><\/b><span data-ccp-props=\"{&quot;335551550&quot;:6,&quot;335551620&quot;:6}\">\u00a0<\/span><\/p>\r\n<p><span data-contrast=\"auto\">EAFs currently in operation must register with the Superintendency and submit a compliance plan within 90 days of the regulation\u2019s effective date. Failure to meet the established requirements may result in an order to cease operations.<\/span><\/p>","protected":false},"excerpt":{"rendered":"<p>The Board of Directors of the Monetary and Financial System&#8230;<\/p>\n","protected":false},"author":8,"featured_media":42920,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[229],"tags":[],"class_list":["post-42924","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"acf":[],"_links":{"self":[{"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/posts\/42924","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/comments?post=42924"}],"version-history":[{"count":4,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/posts\/42924\/revisions"}],"predecessor-version":[{"id":43153,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/posts\/42924\/revisions\/43153"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/media\/42920"}],"wp:attachment":[{"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/media?parent=42924"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/categories?post=42924"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/tags?post=42924"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}