Cook Islands Compliance Regulations Ensure Financial Transparency and Protection

The Cook Islands Government has made it a priority to comply with international standards, focusing on the fight against money laundering, tax evasion, and financial crimes. To achieve this, the country has enacted laws and regulations that align with global requirements.

Strengthening Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) Regime

The Financial Transactions Reporting Act 2017 has significantly bolstered the AML/CFT regime in the Cook Islands, ensuring compliance with FATF recommendations. This has ensured that the country is better equipped to detect and prevent financial crimes.

The Cook Islands has integrated FATCA (Foreign Account Tax Compliance Act) and CRS (Common Reporting Standard) into its legal framework, enabling automatic financial information sharing with other jurisdictions. This move has strengthened international cooperation in tax matters and enhanced transparency in financial transactions.

Cooperative Tax Jurisdiction and Elimination of Preferential Tax Regimes

The Cook Islands has joined the OECD’s Inclusive Framework on Base Erosion and Profit Shifting (BEPS) as a cooperative tax jurisdiction, eliminating preferential tax regimes. This move has significantly improved the country’s credibility globally, reassuring governments, institutions, businesses, and individuals of its commitment to transparency and compliance.

Balancing Transparency and Privacy

While ensuring international obligations are met, the Cook Islands also safeguards confidentiality for legitimate businesses by protecting personal information. The jurisdiction maintains investigative powers but adheres strictly to legal provisions when sharing information, deterring fishing expeditions. With no public registers for beneficial ownership, the Cook Islands has struck a balance between meeting international standards and preserving privacy.

Attractive Destination for International Trade and Financial Transactions

The country’s commitment to compliance regulations has strengthened its appeal as an attractive destination for international trade and financial transactions. The regulatory framework is designed to promote trust, ensuring that financial institutions can operate with confidence and integrity.

Contact Information

For more information on the Cook Islands’ compliance regulations, please contact:

Financial Services Development Authority
P.O. Box 3255, Clarkes Building, Parekura, Rarotonga, COOK ISLANDS
Phone: +682 21-175
Email: enquiry@fsda.gov.ck
Office hours: Monday to Friday, 8am to 4pm; Saturday and Sunday, closed