One year after its official launch on November 29, 2023, the Collateral Registry of Saint Lucia is being reviewed for its impact on improving access to credit and fostering financial inclusion. With over 4,500 registrants to date, the registry has played a crucial role in enabling businesses and individuals to use movable assets, such as vehicles, equipment, inventory, and accounts receivable, as collateral for loans. This initiative has enhanced transparency, efficiency, and reduced lending risks for financial institutions.
Housed within the High Court of Saint Lucia, the Collateral Registry operates under the Security Interest in the Movable Properties Act, providing a secure and accessible platform for lenders and borrowers. The registry allows financial institutions to register security interests electronically, streamlining the process and reducing transaction times.
Daniel Francis, Registrar of the High Court, reflected on the registry’s first year of operation, noting its positive reception within the financial sector.
“The Collateral Registry has been very well received by the business community, particularly the financial sector. We see significant buy-in and valuable feedback from banks, which helps us continuously enhance the system. Performance-wise, the registry has met and, in some cases, exceeded expectations, and I anticipate further positive developments as we move forward.”
Four key features define the success of the registry: public access, a robust legal framework, enhanced transparency, and improved efficiency. Individuals can now conduct real-time searches of the registry database, significantly reducing processing times and improving data accuracy. Financial institutions can register their charges instantly, ensuring the security of their interests in near real-time.
The National Competitiveness and Productivity Council (NCPC) has played a pivotal role in establishing the registry, in collaboration with international partners such as the World Bank and the International Finance Corporation (IFC). Deputy Director of the NCPC, Sharma Mathurin, highlighted the expanding use of collateral types registered on the platform.
“To date, over 4,500 registrants have utilised the registry, and we are encouraged by the broadening range of assets being registered. While vehicles remain the most common form of collateral, we are also seeing registrations for other assets, such as aircraft, crops, company shares, and other valuable assets that the legal framework aims to facilitate.”
Mathurin further emphasised that the registry is fostering a more dynamic lending environment by increasing credit accessibility and lowering borrowing costs. This, she noted, will spur the development of innovative financial products tailored to a wider range of borrowers.
As the registry moves into its second year, stakeholders remain committed to strengthening its functionality, enhancing user experience, and ensuring its continued role in promoting financial stability and economic growth in Saint Lucia.