Gov’t Welcomes Decision to Remove Jamaica and Barbados from EU Financial Risk List

The Government has welcomed the European Parliament’s endorsement of the European Commission’s recommendation to delist Jamaica and Barbados from the European Union (EU) roster of high-risk third countries for anti-money laundering and counter-terrorism financing (AML/CFT).

The decision, on Wednesday (July 9), followed concerns raised by Jamaica’s Prime Minister, Dr. the Most Hon. Andrew Holness, and Prime Minister of Barbados, Hon. Mia Mottley, regarding delays in removing both countries from the list.

In their addresses during the just-concluded 49th Regular Meeting of the Conference of Heads of Government of the Caribbean Community (CARICOM) in Montego Bay, both leaders noted that Jamaica and Barbados remained on the EU’s high-risk list due to procedural technicalities within the European Parliament.

In a communiqué following the CARICOM Meeting, the European Parliament noted that in its vote on Wednesday (July 9), it decided to “not object to the Commission’s proposal on updating the EU list of high-risk third countries and territories with deficiencies in their regime on fighting money-laundering and terrorist financing, as none of the resolutions on objection secured majority support”.

As a result, Jamaica, Barbados, Gibraltar, Panama, the Philippines, Senegal, Uganda, and the United Arab Emirates were officially removed from the EU list.

Reacting to the update on his official social media platforms, Prime Minister Holness described the development as a significant step forward for Jamaica and Barbados, as well as the wider CARICOM region.

“We have been actively advocating for such a decision, one which reflects the reality of the hard work we have undertaken to strengthen our financial systems. This is yet another demonstration of the strength of our partnership with the EU, a partnership which I am committed to deepening even further as Chair of CARICOM,” Dr. Holness stated.

The update was similarly welcomed by Minister of Foreign Affairs and Foreign Trade, Senator the Hon. Kamina Johnson Smith, who noted that the EU Parliament’s decision followed both joint and independent sustained advocacy efforts by Jamaica and Barbados across all levels.

“We are so very pleased that, in the end, a position was taken that recognises the reforms we have made to our financial systems and regulatory frameworks – a position aligned with last year’s positive FATF (Financial Action Task Force) decision. This is yet another signal of broad-based trust in Jamaica’s systems,” she affirmed.

Minister Johnson Smith said the decision reflects the European Parliament’s willingness to respond positively to the needs and interests of small vulnerable economies like Jamaica’s.

“We thank the Parliamentarians for this decisive action with exponential implications for our economies and, accordingly, our citizens. Ultimately, this places us in a better position to continue working purposefully towards achieving our national development goals,” she pointed out.

Senator Johnson Smith explained that the delisting means financial institutions in EU Member States will no longer be required to apply enhanced due diligence to transactions involving Jamaica, thereby reducing compliance burdens and potentially boosting cross-border financial flows.

She added that while the delisting marks a milestone, the Government remains committed to maintaining momentum in financial governance through ongoing efforts to safeguard against illicit financial activity.