Antigua and Barbuda’s Banking Sector Confronts Growing Money Laundering Challenges

Compliance procedures for banks in Antigua and Barbuda are under scrutiny as corruption risks, drug trafficking, and cybercrime threaten financial stability.

St. John’s, Antigua - The Caribbean island nation of Antigua and Barbuda is grappling with a growing array of money laundering challenges, from corruption risks associated with its Citizenship by Investment program to the ongoing threat of drug trafficking and cybercrime.

Estimated $34 million to $86 million in criminal proceeds laundered every year

According to a new report by VinciWorks, a leading compliance specialist, an estimated $34 million to $86 million in criminal proceeds are laundered every year in Antigua and Barbuda. The report highlights key conduits for financial crime, including:

• Professional services: lawyers, accountants, real estate, and money services businesses

Weaknesses in the banking sector’s AML compliance

The country’s banking sector has implemented a risk-based approach to AML compliance, but weaknesses remain, particularly with regard to coordination between authorities and the low quality of Suspicious Activity Reports (SARs) submitted by financial institutions.

“The Royal Police Force of Antigua and Barbuda’s narrow focus on drug trafficking makes it unlikely for a financial crime investigation to occur if there is no connection to drugs,” said a VinciWorks spokesperson. “The US focus on drug trafficking in the region has made it challenging for the country to expand its focus.”

A strong commitment to tackling financial crime

Despite these challenges, Antigua and Barbuda has shown a strong commitment to tackling financial crime. The country has worked with Interpol and the Canadian government to tackle human trafficking, and there is a clear political will to address money laundering.

Navigating complex regional regulations

For businesses operating in or planning to enter the Latin American and Caribbean region, VinciWorks offers a comprehensive guide to AML challenges and laws, including a country-by-country assessment of risks and compliance requirements. The report provides valuable insights for companies seeking to navigate the complex landscape of regional AML regulations.

Access the free guide

To access the free guide, visit VinciWorks’ website at [insert link].

About VinciWorks

VinciWorks is a leading provider of compliance solutions for businesses operating in high-risk jurisdictions. With expertise in anti-money laundering (AML) and financial crime prevention, VinciWorks helps companies navigate complex regulatory landscapes and mitigate risk. For more information, visit our website at [insert link].