ST. KITTS AND NEVIS MAKES KEY LEGISLATIVE AMENDMENTS TO STRENGTHEN THE FEDERATION’S FINANCIAL SYSTEM IN LINE WITH BEST INTERNATIONAL PRACTICES

BASSETERRE, St. Kitts, November 08, 2024 (SKNIS) – The Government of St. Kitts and Nevis passed two key Bills during the Friday, November 08, 2024, sitting of the National Assembly, as part of its ongoing efforts to strengthen and enhance the integrity of the Federation’s financial system.

The two Bills, the Financial Services Regulatory Commission (Amendment) Bill, 2024, which seeks to strengthen the regulatory framework overseeing financial services and ensure compliance with international standards, and the Financial Intelligence Unit (Amendment) Bill, 2024, that aims to bolster the Financial Intelligence Unit’s (FIU) capabilities in combating money laundering and terrorist financing, were moved through the House of Assembly by Prime Minister and Minister of Finance, the Honourable Dr. Terrance Drew.

The prime minister stated that it is critical for policymakers to return to the Federal Parliament from time to time to amend and update legislation to ensure that St. Kitts and Nevis’ financial space remains in line with regional and international standards.

The core purpose of the amendments to the Financial Services Regulatory Commission Act is to reduce the mandatory meetings of the Financial Services Regulatory Commission (FSRC) from nine to five meetings per year.

“This of course, will not compromise in any way the critical work of the FSRC but rather it would save time which can be dedicated to other matters and it would also save resources, and so what we are seeking here is to be as efficient as possible. By streamlining our processes, we can focus more on impactful actions and less on procedural formalities,” Prime Minister Dr. Drew said, while emphasising his government’s commitment to efficiency and excellence.

The Financial Intelligence Unit (Amendment) Bill, 2024, according to Prime Minister Dr. Drew, is crucial to the Federation’s fight against financial crimes and terrorism in keeping with regional and international standards. The amendment aims to expand the Financial Intelligence Unit’s (FIU) investigative powers to include not just businesses but also individuals suspected of financial crimes, and to introduce penalties for those who fail to comply with FIU’s request for information.

Dr. Drew said the changes to the Financial Intelligence Unit Act on November 08 was the government’s 10th amendment of 2024 to ensure St. Kitts and Nevis meets international standards set by the Financial Action Task Force (FATF)—the policy-making body that sets standards and promotes effective implementation of legal, regulatory and operational measures for combating money laundering, terrorist financing and other related threats to the integrity of the international financial system.

“Madame Speaker, St. Kitts and Nevis is committed to maintaining compliance with FATF standards. This Bill is a step towards ensuring our Financial Intelligence Unit is fully equipped to meet these standards ahead of our assessment in early 2025,” the prime minister said.

Prime Minister Dr. Drew assured that his administration remains steadfast in its commitment to ensuring that the Federation’s financial system remains robust for the future benefit of the people of St. Kitts and Nevis.

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