Guyana’s geographic location, porous borders, and the cash- based nature of the economy makes it particularly vulnerable to money laundering/terrorist financing [ML/TF] activities. This deduction was made by Finance Minister, Mr. Winston Jordan, as he addressed a National Risk Assessment Workshop at the Georgetown Marriott Hotel earlier today.
Minister of Finance, Winston Jordan.
Minister Jordan in his presentation underscored that Guyana’s dependence on international trade in goods, services and financial transactions increases the country’s exposure to illicit activities.
In fact he revealed that recent reports emanating from both the United Nations General Assembly and the Financial Action Task Force have acknowledged that money laundering is now shifting from financial transactions to more trade- related activities.
“As the Minister of Finance, I am very cognizant of the catastrophic macroeconomic effects that ML/TF can have on our country, if left unnoticed and unattended. I am aware that it can impair the integrity and stability of the domestic financial system, the current and capital accounts of the balance of payments, and reduce legitimate financial inflows entering the country,” said Minister Jordan.
These predicate offences, he added, also have the potential to drastically reduce the government’s actual revenue collection. But according to the Minister, in addition to its impact on corruption and engendering a lack of confidence in the economy, money laundering can also negatively affect investment and, ultimately, distort economic growth.
In order to safeguard against these eventualities, Minister Jordan revealed that Government has been making stringent efforts to strengthen the country’s Anti-Money Laundering and Countering the Financing of Terrorism [AML/CFT] regime, through appropriate enactments and amendments to the relevant laws.
“Our country is committed to maintaining an effective AML/CFT regime that gives priority to effective supervision and enforcement of the laws. Therefore, even though we have made significant progress over the last two years in enhancing our AML/CFT regime, and we have effectively implemented many global standards, we will continue to be vigilant,” the Minister asserted.
According to the Finance Minister, Guyana will move with alacrity to enact the relevant legislation to address new threats and vulnerabilities.