Guyana’s Financial Sector Battles Persistent Crime Wave

New Cases of Fraud and Money Laundering Surface

Date: FEBRUARY 03, 2023

Georgetown, Guyana—Financial crimes continue to pose a significant challenge to Guyana’s financial sector, with persistent cases of fraud and money laundering raising concerns over regulatory compliance.

Central Bank Report: A Surge in Fraud Cases

• According to a recently leaked Central Bank report, there has been a surge in fraud cases related to electronic fund transfers.
• One financial institution reported losses of over GYD $20 million within the past year.
• The report highlights a lack of proper risk management policies and staff training as key factors contributing to these incidents.

Financial Intelligence Unit (FIU) Reports Uptick in Suspicious Transactions

• The FIU has reported an uptick in suspicious transaction reports.
• Primarily involving monies flowing through offshore jurisdictions and local gambling operations.
• The FIU Director warned that although some of these transactions may be legitimate, they pose a high risk and could potentially be linked to money laundering activities.

International Watchdogs Express Concerns

• International watchdogs have continued to express concerns over Guyana’s progress towards meeting Financial Action Task Force (FATF) recommendations.
• A recent joint Moneyval-FATF assessment noted significant weaknesses in the country’s risk-based approach to anti-money laundering (AML) and counter-terrorism financing (CTF) policies.

Finance Minister Pledges to Bolster Regulatory Oversight

• Guyana’s Finance Minister has pledged to bolster regulatory oversight and ensure stricter adherence to international AML/CTF best practices.
• With elections looming, there is heightened pressure on the government to tackle these issues and safeguard the country’s financial system, which remains vulnerable to criminal exploitation.