Turks and Caicos Islands Makes Progress in Tackling Terrorism Financing, CFATF Ratings Reflect New Efforts

The Turks and Caicos Islands has made significant strides in strengthening its framework to combat money laundering and terrorist financing, leading to a re-rating from the Caribbean Financial Action Task Force (CFATF).

Substantial Progress Made

The country has been upgraded from partially compliant to largely compliant on Recommendation 13, which pertains to correspondent banking, and from partially compliant to compliant on Recommendation 28, which deals with the regulation and supervision of designated non-financial businesses and professions (DNFBPs). This development comes after a recent mutual evaluation report assessed the effectiveness of the Turks and Caicos Islands’ anti-money laundering and counter-terrorist financing (AML/CFT) measures.

Enhanced Follow-Up Procedure

As part of the process, the country was placed under an enhanced follow-up procedure to address technical compliance deficiencies identified in the report. The CFATF’s re-rating reflects the significant strides made by the Turks and Caicos Islands in improving its compliance with international standards.

Progress Highlights

• Improved correspondent banking framework
• Enhanced regulation and supervision of designated non-financial businesses and professions (DNFBPs)
• Strengthened AML/CFT measures to combat money laundering and terrorist financing

CFATF’s Re-Rating Reflects New Efforts

The Turks and Caicos Islands is now rated as Compliant or Largely Compliant with 37 out of the 40 FATF Recommendations, demonstrating its commitment to combating financial crimes.

Key Takeaways

• The Turks and Caicos Islands has made substantial progress in strengthening its AML/CFT framework
• The country’s efforts have been recognized by the CFATF through a re-rating on two key recommendations
• The upgrade reflects the government’s commitment to improving its compliance with international standards