Forex license in Vanuatu
Last Update: 18.03.2026
With increasing regulation and the creation of strict barriers to entry into global financial markets, a Forex License in Vanuatu is an interesting and simple solution for offshore businesses. Gofaizen & Sherle specializes in establishing brokerage companies with an international presence.
The Financial Services Commission (VFSC) directly supervises, manages the licensing process, and monitors compliance with regulations by all financial intermediaries. According to data on the VFSC website, 75 active companies have received official permission to conduct foreign exchange (Forex) activities. For all participants, the basic regulations are laid down in the Financial Dealers Licensing Act. The regulator has the right to revoke a license or impose a fine of VT 15-125 million for insufficient transparency in the exchange of information with government agencies, lack of legitimacy of economic activity, or misleading users.
Benefits of Vanuatu Forex License for International Brokers
The jurisdiction’s popularity is growing due to the minimization of costs when starting a brokerage business, the quick process of obtaining a Vanuatu financial license, as well as:
Low barrier to market entry.
According to the adopted legislation, the licensee must deposit between VT 5 million and VT 50 million (approximately USD 45,000–50,000), depending on the license class, as proof of financial solvency, and pay an additional 20,000 VT for application processing.
One license – several types of activities.
The license is divided into classes, allowing for operations ranging from currency transactions (Class A) to the provision of services with crypto assets (Class D).
Financial conditions.
There is no income tax, dividend tax, or corporate tax for international businesses.
Quick start.
The VFSC can approve a license in 2-3 months, depending on the complexity of the business and the completeness of the requirements.
Limited access to information.
Starting from 2024, when registering a legal entity, the VFSC requires full disclosure of UBO information; however, only government authorities have access to these data.
Vanuatu Forex Regulation
The Vanuatu Financial Services Commission (VFSC) has been the main regulator of the financial sector since 1993 (since its foundation):
- reviews applications for a Vanuatu financial dealer license (FDL);
- ensures compliance with AML/KYC by all licensees;
- in conjunction with the Financial Intelligence Unit, monitors suspicious transactions and imposes sanctions and fines when discrepancies are detected;
- interacts with the FATF and other international organizations to identify new threats, work with digital assets, and implement new regulations.
The Financial Centres Association (FCA) , established in 1993, does not have regulatory authority; its main role is to attract investors and promote a secure business environment.
The VFSC forex license requires compliance with the following legislative acts:
- Law No. 13 of 2014 on Combating the Financing of Terrorism is a key law, as failure to comply with its provisions by licensees affects the reputation of the jurisdiction and can result in it being blacklisted or gray-listed by the FATF. That is why the regulator strictly requires CDD/KYC compliance, transaction monitoring, and reporting.
- The Financial Dealers Licensing Act [CAP 70], as amended, requires a forex license to operate in the jurisdiction, initial capital (guarantee deposit), compliance with company structure and reporting requirements, and payment of fines in case of violations.
- The Companies Act No. 25 of 2012 and the International Companies Act [CAP 222] established rules for the registration and operation of companies.
Regulatory Requirements for a Forex License in Vanuatu
The simple and accessible conditions for obtaining a Vanuatu FSC license consist of the following points:
- Application from a legal entity. Company registration in Vanuatu is mandatory to obtain an offshore forex license.
- Organizational structure. The company must be managed by a manager with 5 years of experience in the economic sphere and confirm their professional reputation (no criminal record, no bankruptcy proceedings).
- Permanent physical office. Since 2022, the VFSC has tightened its requirements for applicants, so confirmation of local presence, a physical office where company documents will be stored, and a permanent employee is required.
- Deposit guarantee. The company must deposit VT 5 million (approximately USD 50,000) into a dedicated VFSC account (clause 5, Part II, Financial Dealers Licensing Act) in the event of bankruptcy, payable to the liquidator. In addition, professional liability insurance and an indication of the source of funds are required.
- 3-year business forecast. The VFSC must review the company’s development strategy for the coming years, its main target markets, and the services the applicant plans to provide.
- Compliance with FATF recommendations. The implementation of AML/CFT procedures, the hiring of a separate MLRO employee, and the reporting of transactions by March 31 are key conditions for operating in the local market (in case of violations, the license will be revoked).
- Audited reports. The licensee must start operations within 6 months of receiving approval, undergo an annual audit by a certified specialist, and update information about management and beneficiaries.
How to Start a Forex Business with a VFSC License?
When deciding to start a forex company in Vanuatu, this will not only give you access to legal business expansion and banking services, but also obligations to comply with strict regulatory standards. Main stages:
Step 1: Company preparation.
A registered international company must meet certain criteria to obtain the selected type of license, such as:
- having a local office;
- confirmation of initial capital ($50,000);
- sufficient experience of the manager (minimum 5 years in the financial sector, no criminal record or bankruptcy).
Step 2: Preparation of a package of documents.
The following must be submitted with the application:
- A realistic and detailed business plan.
- Risk management procedures, AML/CFT policies, procedures for reviewing and responding to customer complaints.
- Confirmation of the hiring of an MLRO manager.
- A guarantee deposit and proof of professional insurance.
Step 3: Fill out the appropriate form.
The VFSC website provides an application form where the applicant must specify the chosen Forex license class (A, B, C, or D).
Step 4: Response from the regulator.
The regulator usually issues a decision within 2 to 4 months. The Financial Dealers Licensing Act specifies a complete list of reasons why an applicant may be denied a license, including failure to pay the state fee for consideration of the application ($2,000), false information in the documents, or concealment of information about the manager or owner (bankruptcy, criminal record, etc.).
Step 5: Activities of VFSC-approved brokers.
Approval from the regulator obliges companies to keep financial records, provide quarterly and annual reports, comply with AML/CFT, and pay license renewal fees (depending on the class).
Overview of Forex licenses in Vanuatu
| Processing time | 6 months |
| Application fee | US$500 |
| Minimum capital requirement | US$50,000 |
| Corporate income tax | 0% |
| Resident employee | Director |
| Accounting audit | Required |
| Office requirement | Required |
Types of Forex Licenses in Vanuatu
Until the fall of 2021, Vanuatu forex licenses were divided into two main types of permits requiring annual renewal. However, following changes to local legislation, the fees became permanent (no annual renewal required). It should also be noted that the regulator reserves the right to revoke licenses in case of violation of the jurisdiction’s rules.
At the moment, depending on the model and needs of your business, you can open one or more licenses of 4 types:
A – intended for transactions with debt currency instruments.
B – for transactions with stocks, precious metals, etc.
C – for companies working with CFDs.
D – authorization of virtual assets after obtaining A, B, and C.
Please note that if you plan to work with digital assets in Vanuatu, your company will need to obtain a Class D license. To obtain this type of license, a company must confirm that it has a risk management system in place, has a registered capital of $500,000, rents a local office, hires a local employee, etc. Otherwise, you will not be allowed to hold digital assets.
Comparison of Vanuatu, Seychelles, and Mauritius
| Parameter | Vanuatu | Seychelles | Mauritius |
| Minimum capital/td> | 5 million VT ($45,000–50,000) | $50,000 | $25,000 (depending on the type of license) |
| Processing time | 1-4 months | 2-3 months | 4-8 months |
| Office/residency requirements | Local physical operating office | Virtual office allowed | 2 resident managers + office |
| Tax | 0% (offshore regime) | 0% (offshore regime) | 3% corporate tax |
Tax Regime
When conducting their activities, regulated forex brokers in Vanuatu must comply with local tax conditions:
- 0% corporate tax.
- There is no 15% VAT for financial services.
- There is no tax on capital gains, dividends, inheritance, or royalties.
- The state fee for registering an IBC is $150, and the annual registration fee is $300.
Vanuatu has 14 signed double taxation agreements.
Conclusion
For investors, Vanuatu is a reliable platform for legal and effective capital management with minimal administrative barriers, tax costs, and no currency controls. The regulator allows various operations on the forex market, including working with currencies, stocks, commodities, futures, and virtual assets (upon obtaining Class D). However, the VFSC may revoke the license or impose substantial fines if a licensee fails to comply with legal requirements, provides false information, or breaches AML/CFT policies.
FAQs About Getting a Forex License in Vanuatu
Is it necessary to obtain a forex license in Vanuatu?
Yes, the VFSC regulator decides whether to grant or deny permission to work with currency and contracts to international companies.
Is there income tax for companies in Vanuatu?
Forex companies are fully exempt from corporate income tax, dividends tax, and royalty payments, but are required to pay local government fees for registration and license renewal.
Is it possible to do business with clients from other countries?
Yes, the license does not restrict the work of brokerage companies, and there is no currency control here.
How long does it take for the regulator to review an application?
The VFSC makes a quick decision within 2-4 months.
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