Cayman Islands removed from FATF Grey list
By way of an update on our recent publication (which can be found here) that the Financial Action Task Force (FATF) had determined that the Cayman Islands has substantively fulfilled its action plan, and following completion of a recent on-site visit by the FATF, the Cayman Islands has now been de-listed from the FATF so-called “Grey list”.
The FATF plenary congratulated the Cayman Islands for its significant progress in addressing the strategic AML/CFT deficiencies previously identified during its mutual evaluations. The Cayman Islands will no longer be subject to the FATF’s increased monitoring process.
With its removal from the FATF’s Grey list there is an expectation that the Cayman Islands will be de-listed from the EU's AML / CFT List shortly.
The Cayman Islands has continued to be the premier offshore jurisdiction for, among other things, structuring investment funds and special purpose vehicles notwithstanding its inclusion on each of the FATF Grey list and the EU’s AML/CFT List. One of the key reasons for this is that the jurisdiction operates a business friendly and well-regulated financial system underpinned not only by a belief in proportionate, risk-based regulation and a conviction to integrity and transparency, but also by the belief that appropriate regulation and international cooperation drive commercial success.
The removal of the Cayman Islands from the Grey list will hopefully serve to underscore the jurisdiction’s drive to adopt the highest international standards and industry best practices.
This publication is not intended to be a substitute for specific legal advice or a legal opinion. If you require further advice relating to the matters discussed in this Legal Update, please contact us. We would be delighted to assist.