Legislation for Supervision and Regulation of Moneylenders in Tonga

One of the main objectives of the National Reserve Bank of Tonga is to promote financial stability as well as to maintain a sound and efficient financial system. In 2014, the National Reserve Bank of Tonga Act was amended to include the extension of the Reserve Bank’s mandate under Section 4A to regulate and supervise non-bank financial institutions as well as to manage and promote financial inclusion initiatives. To regulate and supervise these non-bank financial institutions, the Reserve Bank developed the Moneylenders Act 2018 to regulate and supervise the Moneylenders in Tonga. This Act was proclaimed by Cabinet to come into force on 30th September 2020, and a gazette notice has been publicly posted and published on the Reserve Bank’s website and Facebook page.

Moneylenders contribute to inclusive economic growth in Tonga by providing access to finance to those in the rural and remote areas where there is no banking service. The moneylenders assist households with short term cash flow needs to cover unexpected expenses and for urgent family obligations. Similar to the regulation and supervision of other credit service providers such as microfinance and credit unions, the Moneylender Act ensures that all money lenders conduct their business on a level playing field and according to the same standards and conditions. The Act ensures only licensed moneylenders operate in the financial system. More importantly, this Act protects the interests of the moneylenders’ customers, particularly customers that are commonly less financially literate and unable to access loans from the commercial banks. This Act also assists with monitoring the high interest rates charged, it ensures the valuation of the security is accurate, and that any excess in the proceeds from the sale of collateral is returned to the borrower.

Who is a Moneylender?

Any business carrying on the business of moneylending. Moneylending means the lending of money at interest, with or without security, by a moneylender to a borrower.

Who is not a Moneylender?

  1. Any business that lends money to its members only e.g. work organization that lends money to its staff as a benefit; savings group/clubs that lend to its members;
  2. A Financial Institution (Banks) licensed under the Financial Institutions Act;
  3. Microfinance Institutions licensed under the Microfinance Institutions Act;
  4. Retirement Funds;
  5. Credit Unions;
  6. Cooperative Societies;
  7. Credit Institutions; and
  8. other entities as established by the Reserve Bank through regulation

All moneylenders or persons conducting a moneylending business are required to be licensed by the Reserve Bank under the Moneylender Act 2018. All persons conducting moneylending business or wish to conduct a moneylending business are kindly requested to contact the National Reserve Bank of Tonga as soon as possible for further details on licensing procedures and requirements. Please note the Moneylenders license issued by the Reserve Bank is a separate license from the business license issued by the Ministry of Trade and Economic Development. The table below is a list of businesses that are conducting a moneylending business. The Reserve Bank is therefore requesting that those listed in the Table below please contact the Reserve Bank as soon as possible to apply for a moneylender license. For those of you who are on the list but no longer conducting the business of moneylending, please contact the Reserve Bank to remove your name from the list. The purpose of this notice is to enable the Reserve Bank to license and assist all moneylenders to ensure that all moneylenders comply with this new Act.

The Moneylenders Act states that all moneylenders without a valid license that enter into a transaction after the commencement of this Act shall be unenforceable. However, moneylenders who are not licensed shall not be contravening this Act by reason only of collecting money due under a moneylending transaction or a related transaction entered into before the commencement of this Act. . For this reason and to avoid any financial loss the Reserve Bank hereby requests that persons conducting a moneylending business or all moneylending businesses, please contact the Reserve Bank to apply for a license to comply with the Moneylenders Act.

Table 1: List of Moneylenders compiled through survey by the Reserve Bank

 

Moneylender

Address

A.

TONGATAPU

1

ACE Finance

‘Alakifonua

2

'Akapei 'a Fafine Tonga Finance

Fasi-moe-afi

3

'Alini Finance

Matahau

4

'Alo-ki-Ha'afata Finance

Lapaha

5

ALP Finance

Ma'ufanga

6

Andrea Jolie Finance

Haveluloto

7

Angelica Finance

Haveluloto

8

Annelies Instant Finance

Nuku'alofa

9

AS Finance

Tatakamotonga

10

Asumda Lia Finance

Ma'ufanga

11

Atilua Finance

Haveluloto

12

ATL Finance

Halaleva

13

Bilsal Finance

Vaini

14

Bula Finance

Tatakamotonga

15

Callista Finance

Vaini

16

Chrishi Finance

Mataika

17

DJ Loa & Tausisi's Loans and Finance

Nakolo

18

Eakemai Finance

Kolofo'ou

19

Eva Finance

Nukunuku

20

Fakahaofi Mo'ui Finance

Fua'amotu

21

Fakalelu 'a Kainga Finance

Houma

22

Fakatoumafi Finance

Veitongo

23

Falekihetoa Loan Finances

Houmakelikao

24

Family Finance

Tokomololo

25

Federal Pacific Finance Limited

Kolofo'ou

26

Felemi Loans and Finance

Tatakamotonga

28

Fe'ofa'aki Finance

Pea

27

FGW Financial Loan

Vaini

29

Fietokoni'aki Finance

Tofoa

30

Five Star Finances Company Limited

Haveluloto

31

Foliaki Finance

Ma'ufanga

32

FoNōnga he Lotu Finance

Vaini

33

Frank Finance

Ma'ufanga

34

Fruitful Finance

Houma

35

Gardenia Finance

Ma'ufanga

36

Glow Finance

Kolofo'ou

37

Good Hope Finance

Mataika

38

Halafungani Parn Shop and Finance

Houmakelikao

39

Halaifonua Finance

Longoteme

40

Hasieli Finance

Fangaloto

41

Hesasuhe Finance

Kahoua

42

Houmangalu Finance

Talasiu

43

Hubert 5 Finance

Haveluloto

44

Hume Finance

Masilamea

45

I. J. Tonata Finance

Fatai

46

Jarnica Cash and Finance

Fatai

47

Jaslin Finance

Vaini

48

JJS Savou

Ma'ufanga

49

Johnia Cash & Finance

Mataika

50

JR Finance Service

Kolofo'ou

51

JRVYNII Finance

Tokomololo

52

Junior Finance

Houma

53

K. Tu'ifua Malupo & A. Glenn Finance

Bay ‘o Manu Mataongo (‘Anana)

54

Kafa & Harry Finance

Lapaha

55

Kaha'u Melie Financial Financial Services

Lomaiviti

56

Kaloni Finance

Kolonga

57

Kiera Uasi Finance

Ha'akame

58

Kilisitina Finance

Ma'ufanga

59

Kiwi Shop & Finance

Ma'ufanga

60

Ko'ema Finance

Ahau

61

Kolo'ila Contractor & Finance

Ha'utu

62

Kolokakala Finance

Tatakamotonga

63

Kolonga Tahi Finance

Kolonga

64

Kupu I & M Finance

Liahona

65

Laisa 'Ilaisaane Siale Finance

Lavengatonga

66

Lalanga Finance & Productopm

Pahu

67

Langilangi Tokoma'ata

Vaini

68

Lataimu'a Finance

Lavengatonga

69

Lavaka Finance

Lapaha

70

Lea he Mo'oni Finance

Halaovave

71

Leilani & 'Olivia Finance

Matafonua

72

Leipua Lani Finance

Kolomotu'a

73

Lelei Finance

Kolofo'ou

74

Liki-Vaihea Finance

Halaleva

75

Lini Finance

Haveluloto

76

Lolotava Finance

Ma'ufanga

77

Longolongo 'Eiki Finance

Ma'ufanga

78

Loreto Cashmere Finance Services

Ha'alalo

79

Loveta Finance

Pili

80

LS Finance

Kolofo'ou

81

M.T.J. Finance

Hofoa

82

Maamaloa Loan & Finance

Navutoka

83

Ma'ata's Finance

Haveluloto

84

Mafi Tau Finance

Kolonga

85

Mafikananga Loan Finance

Tofoa

86

Maka Finance

Lapaha

87

Maka Tekina Finance

Pahu

88

Makaha Finance

Fatumu

89

Makiloti & Tevita Pekipaki Finance

Vaini

90

Mana Mei Langi Finance

Ha'asini

91

Mangele C.L.V Nau Finance

Fatai

92

Manuevaha Finance

Ma'ufanga

93

Mary Jane Finance

Ma'ufanga

94

Matangi-lelei Finance

Lapaha

95

Ma'u He 'Ofa Finance

Ha'ateiho

96

Mele Valele Finance

Holonga

97

MFH Finance

Hamula

98

Michael Angelo Finance

Fasi-moe-afi

99

Millis Loan & Finance

Fanga

100

MJ Finance

Haveluloto

101

MJSS Finance

Malapo

102

Moala Finance

Ma'ufanga

103

Moimoi Rental & Finance

Kolomotu'a

104

Monepea Cash & Finance

Tu'atakilangi

105

Mo'ui He Lotu Finance

Pili

106

MSA  Young TMP Finance

Makapaeo

107

Mustard Seed Finance

Houmakelikao

108

Ofa he Lotu Finance

Tofoa

109

Ohana Finance

Liahona

110

Oliveti Finance

Longoteme

111

OSNE Finance

Puke

112

Pacific Finance & Investment Limited

Ma'ufanga

113

Paea Finance

Tofoa

114

Paea he Lotu Loans & Finance

Tatakamotonga

115

Palu Finance

Fasi-moe-afi

116

Papa Finance

Lapaha

117

Papatea Finance Limited

Haveluloto

118

Penaia Finance

Malapo

119

Petra Finance

Homua

120

Pro Loan Finance

Pea

121

Provider Finance

Vaini

122

Puafisi Family Finance

Kolofo'ou

123

PVT Immigration & Finance

Kolofo'ou

124

Ranaa Finance

Lavengatonga

125

Rohani JR Quick Loan Finance

Tokomololo

126

Rosetilia Finance & Services

Haveluloto

127

S&S Finance

Longolongo

128

S&S Tapuaki Finance

Vaini

129

Salote Finance

Vaini

130

Sam & Tau Finance

Holonga

131

Sam Finance

Kolomotu'a

132

Samvita Finance

Fatumu

133

Sangster Finance

Ha'asini

134

Seilose Finance

Matahau

135

Semikolo Finance

Lapaha

136

Sesta Finance

Halaovave

137

Sia Junior Finance

Fasi-moe-afi

138

Siale Family Finance

Lapaha

139

Si'i Me'i Suka Finance

Mataika

140

Sitaena Sola Finance

Ma'ufanga

141

Siumafua Finance

Folaha

142

SNTFM Fakaongo Ki Langi Finance

Haveluloto

143

Soakimi's Finance

Lapaha

144

Sofia Susitina Sakalia

Ma'ufanga

145

SSS Palu Finance

Fanga

146

Suliana Kakala

Fanga

147

Susana Finance

Pelehake

148

TalaNōa Finance

Ha'asini

149

Talimalimali Finance

Makaunga

150

Taniva Finance

Longolongo

151

Taufu'i Family Finance Services

Popua

152

Taukakapa Loan & Finance

Haveluloto

153

Titako Finance

Longoteme

154

TJ Wals Finance

Kolofo'ou

155

Toa ko 'Ahopanilolo Loan & Finance

Ma'ufanga

156

Touliki Micro Loans and Finances

Ma'ufanga

157

Tu'imana Finance

Pahu

158

Uasike Finance

Fahefa

159

Uikelotu Topaz Finance

Ma'ufanga

160

Utufia Finance

Popua

161

Utulanivaka Finance

Tatakamotonga

162

Vai ko 'Elimi Finance

Tofoa

163

Vaka Tau Mai Finance

Fasi-moe-afi

164

Vangana He 'Ofa Finance

Fanga

165

Veronica Finance

Houmakelikao

166

W & L Finance

Vaini

167

Waterlily Store & Finance

Fo'ui

168

Watson & Lose Finance

Nualei

169

Young Brothers Loan Finance

Tofoa

B.

VAVA’U

 

170

Joyceann's Finance

Talau

171

KaNōgata'a Finance

Longomapu

172

L & M Finance

Kameli

173

Lilia Finance

Neiafu

174

M&M Finance

Neiafu

175

Saineha Kaufusi Veatupu Finance

Masilamea

176

SSE Finance

Neiafu

177

Talifuifui Finance

Feletoa

C.

HA’APAI

178

Obama Finance

Nōmuka

D.

‘EUA

179

'Aholelei Finance

Futu

180

Halatoafa Finance

Petani

181

HoNōlulu Finance

Mu'a, 'Eua

182

JLC Finance

'Ohonua

183

Katrina Finance

Pangai, 'Eua

184

Mele Takau Finance

Ha'atu'a

185

Paea he 'Ofa Finance

Angaha

186

Paionia 'O Kolomaile Finance

Ha'atu'a

187

Pamini 'Anau Finance

Pangai, 'Eua

188

Samaletani Finance

'Ohonua

189

Tele'a Hiva Finance

Sapa'ata

190

Victoria Finance

'Ohonua

The Reserve Bank appreciates your assistance in complying with the Moneylenders Act 2018. For more information, please contact the Non-Bank Financial Institutions Department of the National Reserve Bank of Tonga. A copy of the Moneylenders Act 2018 on the following links: English | Tongan.


Enquiries

Financial Institutions Department
National Reserve Bank of Tonga
Fasi mo e Afi
NUKU'ALOFA

Telephone: (676) 24057
Fax: (676) 24201

Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

Resources

Press Release in English
pdfIcon 186 KB - Download a copy of the full press release.

Press Release in Tongan
pdfIcon 297 KB - Download a copy of the full press release.

See more Press Releases in 2020.

Archive

 

Banknotes

Career

tra

You are here: Home News 2020 Press Release Legislation for Supervision and Regulation of Moneylenders in Tonga