Financial Crime World

British Virgin Islands Committed to Fighting Money Laundering and Terrorist Financing

The British Virgin Islands (BVI) remains committed to combating money laundering, terrorist financing, and proliferation financing, ensuring compliance with the Financial Action Task Force’s (FATF) international standards on combatting money laundering and the financing of terrorism and proliferation.

A Global Effort Against Illegal Activities

As an International Finance Centre, the BVI recognizes that these illegal activities permeate national borders, requiring a coordinated global effort to achieve positive results. The consequences of not addressing these issues can have a detrimental impact on the integrity of the Territory’s financial system, economic stability, and public safety.

AML/CFT Framework

The BVI operates an Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) framework that adheres to all relevant international standards. This framework includes a legislative regime comprising laws and regulations that give effect to AML/ CFT obligations set out in these international standards.

Key Bodies

  • National AML/CFT Coordinating Council (NAMLCC): leads on all AML/CFT-related policy matters
  • Council of Competent Authorities: coordinates efforts across various sectors
  • Inter-governmental Committee on AML/CFT Matters: promotes cooperation among government agencies
  • Joint Anti-Money Laundering and Terrorist Financing Advisory Committee: provides strategic guidance
  • Committee of Law Enforcement Agencies: enhances law enforcement cooperation

Supervision and Compliance

The Financial Services Commission (FSC) is responsible for ensuring compliance with the Territory’s AML/CFT systems and controls through supervision of regulated financial institutions. This includes:

  • Monitoring licensees for compliance with identification and verification procedures
  • Record-keeping requirements
  • Third-party relationships
  • Reporting of suspicious activities
  • Internal control system requirements
  • Handling of Politically Exposed Persons (PEPs) and other high-risk individuals

FSC Guidance and Outreach

The FSC provides guidance and performs outreach to its licensees to aid them in understanding their obligations and ensuring the highest level of compliance with AML/CFT requirements. The Commission’s AML/CFT Policy and Strategy guide its responsibilities, strengthening its supervisory, enforcement, and domestic and international cooperation regimes.

Three-Year AML/CFT Strategy (2020-2022)

The three-year strategy sets out goals within four key areas:

  • Supervision
  • Enforcement
  • Promotion of cooperation
  • Stakeholder awareness and outreach

This strategy provides a roadmap for implementing effective measures across the board to combat ML, TF, and PF risks inherent in the financial services sector.

Conclusion

The BVI’s commitment to fighting money laundering and terrorist financing is crucial in maintaining its position as a secure and well-regulated international financial centre.