FATF Public Statements - February 2021 (2021-02-21)

Summary

This is a notice from the British Virgin Islands Financial Services Commission (FSC) drawing attention to two Financial Action Task Force (FATF) public statements issued on 21 February 2021: one identifying high-risk jurisdictions subject to a call for action, and another listing jurisdictions under increased monitoring (the so-called 'grey list'). The FSC uses the notice to remind persons subject to BVI AML/CFT obligations to factor these FATF findings into their risk assessments.

• High-risk jurisdictions (call for action): Iran and the Democratic People's Republic of Korea (DPRK) remain identified as posing serious money laundering, terrorist financing and proliferation financing risks; FATF calls for enhanced due diligence and, in serious cases, counter-measures against these jurisdictions.
• Jurisdictions under increased monitoring (grey list): Albania, Barbados, Botswana, Burkina Faso, Cambodia, Cayman Islands, Ghana, Jamaica, Mauritius, Morocco, Myanmar, Nicaragua, Pakistan, Panama, Senegal, Syria, Uganda, Yemen and Zimbabwe are listed as actively working with FATF to address strategic AML/CFT deficiencies.
• FSC guidance: The FSC encourages, but does not mandate, application of appropriate or enhanced customer due diligence when dealing with customers or transactions connected to the identified high-risk jurisdictions.

The notice is informational and risk-advisory in nature; it does not itself amend the Anti-Money Laundering Regulations, 2008 or the Anti-Money Laundering and Terrorist Financing Code of Practice, 2008, but directs regulated persons to consider these FATF findings when applying those existing frameworks.

Key obligations

• Persons subject to the Anti-Money Laundering Regulations, 2008 and the Anti-Money Laundering and Terrorist Financing Code of Practice, 2008 should factor the identified FATF jurisdictions into their money laundering, terrorist financing and proliferation financing risk assessments.
• Apply appropriate or enhanced customer due diligence when dealing with customers or transactions connected with the 'High-Risk Jurisdictions subject to a Call for Action' (Iran and DPRK).

Applies to

persons required to comply with the Anti-Money Laundering Regulations, 2008, persons required to comply with the Anti-Money Laundering and Terrorist Financing Code of Practice, 2008, financial institutions