KINGSTON, Jamaica, CMC—The Jamaica government announced Friday that the island has been removed from the Financial Action Task Force’s (FATF) ‘grey list’ of countries assessed as having deficiencies in their Anti-Money Laundering/Countering the Financing of Terrorism (AML/CFT) regimes.
“I am proud to share that the Financial Action Task Force (FATF), at its Plenary in Singapore on Friday, June 28, 2024, removed Jamaica from its ‘Grey List’ of countries that are assessed as having strategic deficiencies in their Anti-Money Laundering/Countering the Financing of Terrorism (“AML/CFT”) Regimes,” said Finance and the Public Service Minister, Dr. Nigel Clarke, who led the Jamaican delegation to the FATF meetings in Singapore this week.
He said that the FATF, in a statement, welcomed “Jamaica’s significant progress in improving its AML/CFT regime” and that “Jamaica strengthened the effectiveness of its AML/CFT regime to meet the commitments in its action plan regarding the strategic deficiencies that FATF identified in February 2020.
“As such, FATF concluded that Jamaica is “no longer subject to FATF’s increased monitoring process,” Clarke said, adding, “This is a significant achievement for Jamaica.”
In February 2020, Jamaica was placed on the Grey List by FATF, indicating that placement on FATF’s “Grey List” signals international financial and other institutions to take special care when transacting with entities and individuals from a FATF “Grey Listed” country.
“This makes transacting with FATF “Grey Listed” countries more expensive. In the aftermath of the FATF “Grey Listing,” the Government of Jamaica (GOJ) agreed to a 13-point action plan with FATF to address Jamaica’s AML/CFT deficiencies,” Clarke said.
He said despite the “dislocating onset of the COVID-19 pandemic shortly after we agreed to this action plan, Jamaica delivered on the full range of legislative and regulatory reforms detailed in Jamaica’s action plan and ensured that the implementation of these was effective”.
Clarke said a joint group from FATF visited Jamaica six weeks ago for an onsite visit to assess the effectiveness of Jamaica’s implementation of our action plan.
He said the group confirmed to FATF that Jamaica has a “robust and comprehensive understanding of its money laundering and terrorist financing risks. In its report to FATF, the Joint Group highlighted that, in some instances of the implementation of its AML/CFT framework, Jamaica was an example of global good practice.”
Clarke acknowledged that “this has not been an easy process,” adding, “it has required painstakingly detailed and comprehensive work across the GOJ mostly during the very demanding and difficult time of the COVID-19 pandemic and its aftermath”.
Clarke said he was grateful to Prime Minister Andrew Holness, who gave him the space and support to do what was necessary to ensure the achievement of these results, and to his Cabinet colleagues for the collaboration and teamwork that made this achievement possible.
He also praised “all the hardworking and committed public servants” who serve on the multi-agency National Anti-Money Laundering Committee (“NAMLC”), which was strengthened in 2021.
Clarke said it is responsible for the general oversight of the AML/CFT policy in Jamaica and ensuring adherence to the FATF 40 recommendations, of which he serves as chairman.
He also praised the FATF, the Caribbean Action Task Force (CFATF), and Jamaica’s bilateral and multilateral partners, without whom Jamaica would have been hard-pressed to achieve these results.
Clarke said that as Jamaica prepares to assume the Chair of the CFATF in December 2024, when Kingston hosts the organization’s 59th Plenary, “we pledge our unwavering commitment to ensuring that Jamaica builds on this achievement and maintains up-to-date with the la.
“So, while we celebrate this milestone achievement, we have to look ahead to ensure we never again give the global standard setter for AML/CFT/CPF matters a reason to grey list Jamaica.
“As such, Jamaica, like other countries, is now preparing for the globally applicable 5th round of AML/CFT/CPF mutual evaluations scheduled to take place in mid-2026.”
Clarke said that before 2025, Jamaica would need to amend or introduce new laws to regulate virtual assets and virtual asset providers, make the registration of non-profit organizations mandatory, and promulgate regulations that address certain targeted financial sanctions related to proliferation.
“The central lesson from today’s achievement is that it demonstrates that whatever Jamaica focusses on, Jamaica can achieve,” Clarke added.
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