The Bahamas has now attained technical compliance ratings of “Compliant and Largely Compliant” in 40 of the 40 Financial Action Task Force Recommendations – International Anti- Money Laundering, Countering of Terrorism and Proliferation Standards. The country becomes only the second jurisdiction in the Caribbean, South and North American Regions to attain such standing.
The country’s 5th Follow-Up Report was released today by the Caribbean Financial Action Task Force.
Dear Clients – As you are aware the Global response to the Russia and Ukraine conflict continues to evolve, including the imposition of increasing sanctions and other restrictive measures.
In step with other international sanctions programs, on March 12th, 2022, The Bahamas officially issued directives prohibiting transactions and other activities relating to the financial resources of the Russian Federation and those of certain entities and individuals linked to the Russian Federation.
It has been a busy period of transformation in The Bahamas with the enactment of the (a) Commercial Entities (Substance Requirements) Act 2018, (b) the Register of Beneficial Act (“ROBO”), 2018 and the (c) Investment Funds Act, 2019 among others. These laws are focused on tax residency of key commercial businesses, appropriate, secure and controlled access to beneficial owner information to enable valid law enforcement enquiries and good governance of the securities markets.
An important update was made to our Investment Funds Act in February 2020. This act was a key element to securing confirmation from the European Union (“EU) that Bahamas structures meet the EU “Economic Substance” requirements.