Dominica Establishes Financial Intelligence Unit to Combat Money Laundering and Terrorist Financing

The government of Dominica has taken a significant step in its efforts to combat money laundering and terrorist financing by establishing a financial intelligence unit (FIU) in the country.

What is the FIU?

The FIU will serve as a national centre for the receipt, analysis, and dissemination of information related to suspicious transactions, money laundering, and terrorist financing. Its mandate includes:

• Receiving and analyzing suspicious transaction reports from reporting entities, including banks, insurance companies, and other financial institutions
• Accessing additional information from these entities as needed to perform its functions properly
• Using analytical software to process information more efficiently and assist in establishing relevant links between transactions

Functions of the FIU

The FIU will have several key functions:

• Disseminating information and the results of its analysis to relevant competent authorities, including law enforcement agencies and financial regulatory bodies
• Accessing a wide range of financial, administrative, and law enforcement information from other sources, including publicly available data and commercially held data
• Handling, storing, disseminating, and protecting sensitive and confidential information in accordance with established rules

Security and Confidentiality

To ensure the security and confidentiality of the information it handles, the FIU will have:

• Rules in place governing the handling, storage, dissemination, and protection of sensitive and confidential information
• Staff members with necessary security clearance levels and understanding of their responsibilities in handling and disseminating sensitive and confidential information

Independence and Autonomy

The FIU will be operationally independent and autonomous, with the authority to:

• Carry out its functions freely, including the decision to analyze, request, and/or disseminate specific information
• Have adequate financial, human, and technical resources to conduct its mandate effectively

Significance of the FIU

Dominica’s establishment of an FIU is a significant step forward in its efforts to combat money laundering and terrorist financing. The unit will play a critical role in supporting the country’s anti-money laundering and combating the financing of terrorism (AML/CFT) regime and will help to protect the financial system from illicit activities.

By having a dedicated FIU, Dominica can more effectively identify and disrupt money laundering and terrorist financing schemes, ultimately contributing to a safer and more stable financial environment.