In a recently published report by the Caribbean Financial Action Task Force (CFATF), Guyana was acknowledged for its substantial advancements in understanding and addressing risks related to money laundering and terrorism financing.
While Guyana has made significant strides in addressing AML/CFT risks and has a robust legal framework, the report noted clear areas for improvement to further strengthen its AML/CFT regime and enhance its effectiveness in combating financial crimes.
The Attorney General’s Chambers released an executive summary on Wednesday, highlighting these findings, and noting the report’s comprehensive nature.
Among the notable advancements in understanding the risks associated with money laundering (ML) and terrorism financing (FT), it was noted that Guyana conducted multiple risk assessments, such as a national ML risk assessment in 2017 and updates in subsequent years, a 2022 Non-Profit Organization (NPO) TF risk assessment, and a 2023 sectoral risk assessment on Extractive Industries.
The report found that in Guyana there is a strong legislative framework for Targeted Financial Sanctions (TFS) related to TF, with competent authorities having a good understanding of TF risk profiles.
On the point of competent authorities in Guyana, it noted that these persons have access to a wide range of financial intelligence and other information necessary for ML, TF, and other investigations, facilitated by the Financial Intelligence Unit (FIU).
Various regulatory bodies in Guyana, such as the Bank of Guyana and others, have been recognized for applying strong controls to prevent criminal influence in financial institutions (FIs) and Designated Non-Financial Businesses and Professions (DNFBPs).
Overall, except for credit unions, financial institutions demonstrate a good understanding of their AML/CFT obligations, the report found.
Guyana’s legal framework, including Acts like the Mutual Assistance in Criminal Matters Act (MACMA), supports international cooperation on criminal matters effectively.
The report identified Guyana’s vulnerabilities, such as its geographical location and border characteristics, which make it susceptible to drug trafficking, mineral smuggling (gold and diamonds), and other illicit activities.
Guyana showed good technical compliance with FATF standards and has improved its legislative regime over recent years. However, there are areas where effectiveness can be enhanced, particularly in coordinating law enforcement agencies, prioritizing ML investigations, and ensuring consistent confiscation efforts.
The report outlines several priority actions for Guyana, including finalizing and approving the sectoral risk assessment on Extractive Industries, improving cooperation among law enforcement agencies, enhancing supervision of DNFBPs, and ensuring effective implementation of measures related to TFS.
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