Deputy Premier and Minister for Financial Services Hon. Lorna Smith, OBE has reaffirmed the Virgin Islands’ commitment to rigorously implementing the recommendations outlined in its recent Mutual Evaluation Report (MER) published by the Caribbean Financial Action Task Force (CFATF).
In a statement to the House of Assembly on Tuesday, Smith said the Government takes the report’s comments “incredibly seriously” and has already started addressing the priority recommendations highlighted.
“Resources have been prioritised to support this work and I can confirm that we have already started to address the priority recommendations the Report highlights,” Smith told legislators.
She urged continued collaboration and support from both the Opposition and Governor as the Territory implements its published National Action Plan to meet the CFATF’s recommendations through a crucial follow-up process.
“This bipartisan approach is crucial to ensure the success of these efforts and is deeply appreciated by the private sector, especially the business and financial services industry,” Smith stated. “Their continued engagement, together with our commitment to meeting international standards, will be instrumental in gaining continued recognition from external institutions.”
As a major international finance centre, the Deputy Premier acknowledged that a “robust and effective regulatory regime” has been the foundation of the BVI’s success, facilitated by continuous strengthening of anti-money laundering codes and legislation since 1999.
However, Smith made clear that an “even greater effort must be made” following the CFATF’s assessment last March which identified areas requiring further action.
“We know that full and effective implementation of global standards is vital if we are to protect our economy, as well as the international system,” she asserted. “The Virgin Islands must always be a hostile environment for illegitimate financial activity.”
Smith highlighted her attendance at the CFATF’s Plenary last November as an “essential signal” of the Government’s high-level commitment to addressing the issues raised and respect for the regional body which the BVI is a founding member.
“Our aim is to attract reputable business only,” Smith emphasized, pledging closer partnership between public and private stakeholders to mitigate risks and successfully prosecute financial crimes.
While acknowledging more work lies ahead, the Deputy Premier reiterated the BVI’s determination to “demonstrate leadership” and keep the public and CFATF updated on progress implementing the Mutual Evaluation Report’s recommendations.