Financial Crime World

Saint Lucia’s Anti-Money Laundering and Combating the Financing of Terrorism Guidelines Receive Mixed Ratings from International Financial Action Task Force

Progress Made, But Challenges Remain

The government of Saint Lucia has made significant progress in implementing the technical requirements of the Financial Action Task Force (FATF) Recommendations. However, according to the 2021 Mutual Report, the country still faces areas of non-compliance.

Effective Implementation

Several areas where Saint Lucia has implemented the FATF Recommendations effectively include:

  • Assessing risk and applying a risk-based approach (R.1)
  • National cooperation and coordination (R.2)
  • Customer due diligence (R.10)

Additionally, the country has made progress in implementing targeted financial sanctions related to terrorism and terrorist financing (R.6) and transparency and beneficial ownership of legal persons (R.24).

Challenges Remain

Despite progress, Saint Lucia faces challenges in several areas, including:

  • Non-compliance with regards to confiscation and provisional measures (R.4)
  • Financial institution secrecy laws (R.9)
  • Regulation and supervision of financial institutions (R.26)

The country was also deemed partially compliant in areas such as:

  • Money or value transfer services (R.14)
  • Reliance on third parties (R.17)

Areas for Improvement

Saint Lucia requires improvement in several areas, including:

  • Implementation of a more robust AML/CT regime for non-profit organizations (R.8)
  • Regulation and supervision of designated non-financial businesses and professions (DNFBPs) (R.28)
  • Provision of guidance and feedback to financial institutions (R.34)

Government Commitment

Saint Lucia’s government has acknowledged the report’s findings and is committed to addressing the identified shortcomings. The country is working to strengthen its AML/CT framework and improve its compliance with international standards.

Accessing the Report

The full report can be accessed on the website of the International Cooperation Review Group, which is responsible for evaluating the progress of countries in implementing the FATF Recommendations.