The Vanuatu Financial Services Commission (VFSC) was formally established in December 1993, after the Vanuatu Parliament enacted the Vanuatu Financial Services Commission Act No. 35 of 1993.

The VFSC Act was was passed in Parliament unanimously, by both the Government and the Opposition in Parliament supporting its enactment.

The VFSC is established by the Act as a corporate entity with perpetual succession and a common seal and which may in such name sue or be sued, it can enter into contracts and acquire hold and deal with and dispose of real and personal property of every description.

It is headed by the Commissioner as its Chief Executive Officer. The Commissioner reports to the governing body which is the Commission, which consists of the Commissioner and the Governor of the Reserve Bank both being ex officio members, a person with legal qualifications appointed by the Minister and not less than 2 and not more than 4 others, again appointed by the Minister at least two of whom must have previous knowledge and experience of financial business.