Forex trading in Tonga is regulated under strict exchange control measures administered by the National Reserve Bank of Tonga. The Foreign Exchange Control Regulations require that no person other than an authorised dealer shall buy or borrow any foreign currency from, or sell or lend any foreign currency to, any person other than an authorised dealer without the permission of the Reserve Bank (1). Residents of Tonga cannot engage in foreign exchange transactions outside of the framework established by these regulations.
The Foreign Exchange Control Act 2018 mandates that any person or entity intending to provide foreign exchange services must obtain a valid license from the National Reserve Bank of Tonga. Operating without proper authorization is illegal and punishable under Tongan law (2). The Reserve Bank issues different license types including Type A for inward and outward remittances, Type B for inward remittances only, and Type C for foreign currency conversion only.
"The National Reserve Bank of Tonga wishes to warn the public that money transfer business is restricted to Authorised Persons with a valid license issued by the Reserve Bank, as required by section 13(1) of the Foreign Exchange Control Act 2018."
Online forex trading by individuals through international platforms operates in a regulatory gray area in Tonga, as the existing foreign exchange control framework primarily addresses authorized dealers and licensed money transfer services rather than retail forex trading. Tongan residents considering forex trading should consult with the National Reserve Bank of Tonga to ensure compliance with current exchange control regulations and licensing requirements.
Source:
https://ago.gov.to/cms/images/LEGISLATION/SUBORDINATE/1965/1965-0007/ForeignExchangeControlRegulations_2.pdf
https://matangitonga.to/2024/05/22/unauthorised-foreign-exchange-tonga-illegal
Last updated: 15-10-2025 Disclaimer: This article does not provide legal advice. If you need legal advice, please contact an attorney directly.
