IEIM400950 | Non-Reporting Financial Institutions: Central Bank

NRFI: Central Bank

The Central Bank of a jurisdiction is a Non-Reporting Financial Institution (NRFI) for FATCA and will generally be a NRFI for CRS.

It is a defined term in the CRS and any entity that falls within the definition is a NRFI, subject to the following exceptions:

i) A Central Bank will not be a NRFI with respect to a payment that is derived from an obligation held in connection with commercial financial activity of a type engaged in by a Specified Insurance Company, Custodial Institution or Depository Institution, and

ii) From 1 January 2026, a Central Bank will not be a NRFI with respect to the activity of maintaining Central Bank Digital Currencies for account holders that are not Financial Institutions, Governmental Entities, International Organisations or Central Banks.

The IGA with the USA defines Central Bank by reference to the entity that fulfils that function in the UK. As there is no other UK entity that fulfils that role, the Central Bank for both regimes is defined as The Bank of England and any of its wholly owned subsidiaries.