New moves to combat financial crime have been hailed by Premier Dr. Natalio “Sowande” Wheatley as key to enhancing international confidence in the Virgin Islands.
His comments came as the government released a strategy and updated policy produced by the National Anti-Money Laundering/Combating the Financing of Terrorism Coordinating Council (NAMLCC).
The documents — which were approved last month by the House of Assembly — clarify the territory’s approach to fighting money crime in accordance with recommendations from a scathing Mutual Evaluation Report released in February by the Caribbean Financial Action Task Force, according to government.
“The revised policy and strategy are critical steps forward in safeguarding the [VI’s] financial system and ensuring compliance with international standards,” said the Dr. Wheatley, who chairs the NAMLCC.
Previous strategy
Following a national risk assessment released in 2016, the NAMLCC launched its inaugural policy in 2021 along with a three-year strategy, according to government. After that, further assessments gauged the territory’s potential exposure to money laundering, terrorism financing and proliferation financing.
The findings of those assessments, along with the Februart CFATF report, were used to update the policy and create the new strategy for 2024-2026, government explained.
The NAMLCC approved both documents in June.
“A central focus of the new strategy is addressing the risks posed by legal persons and legal arrangements,” government said in a statement.
“This includes strengthening mechanisms for detecting, regulating, investigating and sanctioning such entities. The strategy also underscores the importance of cooperation among competent authorities and law enforcement agencies, as effective collaboration is critical to the success of the Virgin Islands’ regime.”
Monitoring and evaluation
The policy and the strategy each include a “robust monitoring and evaluation” system designed to help ensure the territory complies with international standards, government explained in the statement.
“As we continue to face the ever-evolving threats of money laundering, terrorist financing, and proliferation financing, it is essential that the Virgin Islands remain agile and proactive in our response,” said Dr. Wheatley.
The premier added that building a bulwark against financial crime is key to business success for the territory.
“We are committed to working closely with all stakeholders to implement these strategies effectively, and to ensure that the Virgin Islands remains a safe and secure jurisdiction for legitimate business,” he said.
The CFATF review found the VI performing badly in seven of the 11 key areas of regulation that it evaluated.