Guernsey MoneyVal draft report a few months away

MoneyVal inspectors have visited Guernsey this month to assess the Bailiwick's ability to combat financial crime

A draft report looking into the ability of Guernsey's finance sector to combat financial crime is expected in the next few months.

Inspectors from MoneyVal have been visiting Guernsey this month and the States expects the final report in early 2025.

Inspectors have conducted interviews with people from across the finance sector, regulators, and the public sector as part of the onsite phase of their assessment.

Chief Minister Lyndon Trott, who is also chairman of Guernsey Finance, said he was confident the final review would reflect "the good work done" in tackling financial crime.

The industry interviews, which were carried out over a two-week period ending last Friday, are only one part of the MoneyVal assessment, with the organisation taking a wide range of factors into account.

Agencies and bodies from Guernsey, Alderney, and Sark will be providing further information to MoneyVal over the next few weeks to help with the review.

Rob Prow, president of Home Affairs, praised the hard work of local companies, agencies and staff from the States who were involved in the inspection.

Mr Prow said: "The onsite evaluation has been a very intense phase of the overall MoneyVal assessment.

"There is still work to do as part of the review process, and we will continue to engage with the review in a wholly collaborative way."

What is MoneyVal?

MoneyVal is part of the Council of Europe that helps maintain international standards in the fight against financial crime including money laundering and financing of international terrorism.

Its main task is to carry out evaluations of finance centres, like Guernsey, to make sure they have robust processes and rules in place to tackle financial crime.

The MoneyVal assessment tests whether the Bailiwick’s laws and processes are tackling financial crime effectively, rather than whether financial crime is attempted or has taken place.

They assess finance centres on 40 criteria and rate them on a four-tier scale, ranging from Compliant (C) to Non-Compliant (NC).

After MoneyVal delivers its draft verdict privately to the States and financial regulators, the Bailiwick has several months to address any concerns raised, before the final report in early 2025.

A positive rating would help the finance industry locally, as it gives investors and companies confidence that Guernsey is a sound place to do business.

Whereas a poor report could see the Bailiwick being put on MoneyVal’s "grey list" which would have negative consequences for the finance sector.

The finance sector and related industries account for 44% of Guernsey’s economy according to the States, so the final result of the MoneyVal report is hugely important for the Bailiwick.

Guernsey's last MoneyVal inspection was in 2014, however this was under a different set of regulations.