Belize Tightens AML CFT Regulations Amid Global Crackdown on Money Laundering and Terrorism

In an effort to strengthen its fight against money laundering, terrorism, and related financial crimes, Belize has revised its Money Laundering and Terrorism (Prevention) Act, 2008. The revised legislation took effect on January 1, 2009, bringing the country’s regulations in line with the Financial Action Task Force’s “40 Recommendations and Special Recommendations on Terrorist Financing”.

Key Changes

The revised Act introduces several key changes aimed at enhancing Belize’s anti-money laundering (AML) and combating the financing of terrorism (CFT) framework. These changes include:

• Enhanced provisions for investigating and prosecuting money laundering, terrorism, and related crimes
• Procedures for forfeiting criminal proceeds and terrorist property
• Requirements for relevant entities to take preventative measures to combat money laundering and terrorist financing

Broader Scope and Stiffer Penalties

The scope of serious offences has been broadened under the revised Act, with stiffer penalties imposed on violators. This is a significant development in Belize’s efforts to combat money laundering and terrorist financing.

Designation of Central Bank as Supervisory Authority

In another significant move, the Central Bank of Belize has been designated as the Supervisory Authority for commercial banks, international banks, financial institutions, and credit unions. This designation gives the Central Bank the power to issue sanctions for non-compliance with certain provisions of the law.

Enhanced Reputation and Compliance

The revised Act is seen as a major step forward in Belize’s efforts to combat money laundering and terrorist financing, and is expected to enhance the country’s reputation as a responsible member of the global financial community. By tightening its AML CFT regulations, Belize demonstrates its commitment to compliance with international standards and best practices.