The estimated 15,000 foreign workers, mostly from the Philippines, may have to pay higher remittance fees.
Due to the declining number of guest workers, the total value of remittances sent out of the CNMI in the second quarter of fiscal year 2008 dropped to $19.7 million from $22 million.
The first quarter of the year saw an over 18 percent drop in the amount of remittances — $20.8 million compared to $25.4 million a year ago, statistics from the Department of Commerce showed.
Based on the New Foreign Currency Exchange and Remittance/Money Transmission Rules and Regulations published in the Commonwealth Register, every remittance dealer must now have at least $100,000 in time deposit account in a local bank to be able to engage in foreign exchange currency transactions.
Commerce Secretary Michael Ada, who is also the banking director, is authorized to issue a foreign exchange license to a remittance dealer for a fee, which is now $300 every year.
Every agent of a licensee must separately register with the banking director and pay an annual registration fee of $50.
Retailers and hotels that offer foreign exchange currency transactions at their establishments must now pay a fee of $50.
The new regulations also require foreign currency exchange dealers to obtain certain details about customers like his or her Social Security number and/or tax identification number, among other things, for transactions worth $10,000 or more.
Remittance dealers must also continue to keep all records of their transactions for up to three years and must make quarterly reports to the Department of Commerce about their business activities.
The banking director is empowered to examine their records at any time.
