The National Reserve Bank of Tonga (NRBT) has taken a major step toward modernizing the country’s financial sector with the launch of a Regulatory Sandbox.

The Sandbox will allow financial institutions and fintech innovators to test new products and services in a controlled environment, under NRBT supervision. It will support key national goals such as improving payment systems, facilitating cross-border remittances, expanding financial access for the unbanked, promoting financial literacy, and advancing regulatory technology.

“The Sandbox has the potential to transform financial access and inclusion in Tonga—especially for underserved populations in remote areas,” said Dr. Eliki Boletawa, AFI’s Director of Policy Programs and Implementation. “It signals a commitment to building a financial system that is not only safe and stable but also inclusive, dynamic, and ready for the future.”

This milestone aligns with the Pacific Regional Regulatory Sandbox Guidelines, reinforcing Tonga’s commitment to shared learning and coordinated innovation through AFI’s Pacific Islands Regional Initiative (PIRI).

NBRT now joins the ranks of other PIRI members (Bank of Papua New Guinea, Reserve Bank of Fiji, Central Bank of Solomon Islands, and Central Bank of Samoa) in operationalizing a structured framework for responsible innovation.

Together, these central banks are fostering a vibrant and enabling environment where financial technologies can be safely tested, adapted, and scaled to advance inclusive and resilient financial services across the region.

With the framework now officially launched, its full operationalization will take place over time, as supporting systems and processes are put in place.