Confidence over financial services' future after positive MONEYVAL report

Monday, 10 February 2025 08:40

Guernsey is one of the world's most secure jurisdictions for financial services, according to a Council of Europe MONEYVAL evaluation.

The Bailiwick received pass ratings for six out of the 11 categories by which its effectiveness in combating money laundering, the financing of terrorism, and the financing of proliferation of weapons of mass destruction is assessed.

It is one of only a few jurisdictions to pass all 40 recommendations around technical compliance in these areas.

The Bailiwick received the lower of the two fail ratings when it came to the investigation and prosecution of financial crime.

But Moneyval did feed back that the Economic and Financial Crime Bureau is addressing this.

The head of Policy and Resources, Deputy Lyndon Trott, says the Moneyval outcome puts Guernsey ahead of the majority of other jurisdictions assessed and reinforces its 'safe and secure' reputation.

"If you are eager as a client to book your business in a jurisdiction that provides the very best there is, then there are few places, if any, that are better than Guernsey for you to do so."

He adds that a poor evaluation would have compromised the financial services sector:

"There’s no question that we would’ve lost a significant number of clients, new business would’ve gone elsewhere.

"So the negative consequences would’ve been very significant indeed, fortunately, we passed with flying colours."

Deputy Rob Prow, who heads up the Home Affairs Committee which oversees the control of financial crime, says the importance of the review cannot be overstated:

"Preparations for our MONEYVAL evaluation were identified right at the start of this political term as one the most pressing priorities. It is undoubtedly one of the success stories of this term of government, as the amount of effort and collaboration needed to secure this very positive result was a huge task."

A positive outcome following the inspection last April is seen as essential to the continued prosperity of offshore international finance.