Cayman Islands Removal from the FATF Grey List
30 October 2023
On 27th October 2023, the Cayman Islands received the much anticipated news that it has been removed from the Financial Action Task Force’s (“FATF”) anti money laundering ‘grey list’.
This latest development reaffirms that the jurisdiction has a robust and effective regime for Anti-Money Laundering and Counter Terrorist Financing (“AML/CTF”) in line with other major financial centres.
The Cayman Islands has invested significant resources in recent years to resolve the strategic deficiencies that the FATF identified in the jurisdiction’s AML/CTF regime when it was placed on the grey list in February 2021.
At the FATF plenary in June 2023, the FATF announced that the Cayman Islands had substantially completed all of the recommended actions set out in the FATF’s plan, which was duly followed up by the onsite inspection in September 2023 where the Cayman Islands demonstrated its successful implementation of the technical reforms made, as well as their efficacy in practice.
The Cayman Islands has demonstrated a consistent commitment to bolstering the effectiveness of the jurisdiction’s AML/CTF regime, working hard to ensure it is applying sanctions that are functional, proportionate and dissuasive in response to AML/CTF breaches.
The removal of the jurisdiction from the grey list is a result of the unwavering dedication of the jurisdiction, from the regulator to the government to all those operating in the financial services industry, and has reinforced the Cayman Islands’ integrity and sound reputation.
In light of this positive development, the Cayman Islands can look forward to continued success as a premier financial centre on the global stage.
For more information on how the ZEDRA Cayman Islands team can help you with respect to trust, fund or fiduciary services please contact David van Duynhoven, Managing Director, Eduardo D’Angelo P Silva, Director – Corporate and Management or Philippa-Lucy Robertson, Director – General Counsel.