Financial Crime World

Guyana Introduces Stricter AML/KYC Regulations for Financial Institutions

To combat money laundering and terrorist financing, Guyana has implemented stringent Anti-Money Laundering (AML) and Know-Your-Customer (KYC) regulations for financial institutions operating in the country.

Registration Requirements

Financial entities must register with the Financial Intelligence Unit (FIU) and submit relevant documents, including:

  • Business registration
  • Licenses issued by the Guyana Revenue Authority (GRA)
  • Owner identification
  • Recent financial statements

Compliance Officer Appointment

Reporting entities are required to appoint a compliance officer responsible for ensuring adherence to AML/CFT Act requirements.

Customer Due Diligence

Financial institutions must conduct:

  • Customer Due Diligence (CDD): Verify customer identities and maintain records of transactions for at least seven years.
  • Enhanced Customer Due Diligence (ECDD): Conduct additional due diligence on customers, as needed.

Policy Manual and Training

Financial institutions are required to create a policy manual outlining:

  • Reporting requirements
  • Record-keeping requirements
  • Client identification requirements

Employees must undergo regular AML/CFT training to ensure they are up-to-date with new regulations and obligations.

Reporting Requirements

Financial entities are required to submit:

  • Monthly Threshold Transaction Reports (TTRs)
  • Quarterly Terrorist Property Reports (TPRs)
  • Suspicious Transaction Reports (STRs) to the FIU

Independent Audit Function

The regulations emphasize the importance of an independent audit function to test AML/CFT procedures and systems.

Consequences of Non-Compliance

Failure to comply with these regulations can result in sanctions being instituted, as outlined in Section 23(1)(e) of the AML/CFT Act.

Conclusion

Financial institutions operating in Guyana are advised to take all necessary steps to ensure compliance with these regulations to avoid any legal repercussions. The Financial Intelligence Unit is located at Lot 49 Main and Urquhart Streets, Georgetown (Ministry of Finance Compound), where registration forms and relevant documents can be submitted.