Caroline Abel: Beneficial ownership guidance and training workshop
for banks and other financial institutions
Welcoming remarks by Ms Caroline Abel, Governor of Central Bank of Seychelles, at
the Beneficial Ownership Guidance and Training Workshop for Banks and other
Financial Institutions, Beau Vallon, 11 July 2024.
* * *
Representatives of the regulatory authorities,
Facilitators from the EU Global Facility on AML/CFT,
Participants,
Good morning.
It gives me great pleasure to welcome you all to the fourth day of the week-long training
workshop on enhancing beneficial ownership transparency - a topic of growing
importance globally.
As you know, a beneficial ownership law was one of two key pieces of legislation that
came into force in August 2020. The enactment of the BO Act and the AML/CFT Act
was part of efforts to align the country's legal framework to international standards and
protect the integrity of our financial system.
While enacting these two laws marked a significant milestone, the commitment and
collaborative approach of the relevant authorities and reporting entities to ensure their
enforcement and effectiveness is even more critical. Much has been done to date, but
we must acknowledge that there are still areas for improvement. The Beneficial
Ownership Guidance and Training Workshop for targeted stakeholders demonstrates
the ongoing commitment to implement the necessary measures and build capacity.
At this juncture, I would like to commend the collaborative efforts of the respective
teams from the Financial Intelligence Unit, the Financial Services Authority and the
Central Bank - the three institutions mandated to ensure sectoral AML/CFT supervision
- for spearheading this week's training programme, with the invaluable technical
assistance of expert facilitators from the European Union's Global Facility on AML/CFT.
Ladies and gentlemen
Many legal entities worldwide are trying to operate in secrecy, using complex and
opaque ownership structures to facilitate illicit activities such as tax evasion, corruption,
money laundering, and terrorism financing, highlighting the critical importance of
beneficial ownership transparency. Although geographically isolated, Seychelles is as
vulnerable to such risks as any jurisdiction, hence the need to build resilience and
maintain the integrity of our financial system.
Effective customer due diligence to identify who ultimately owns, benefits from, or
controls a legal entity or arrangement is vital to improving the assessment of potential
risks and employing risk-based supervisory approaches. These efforts assist in
detecting unusual or suspicious transactions, thus preventing our financial system from
being used as a vehicle for illicit financial activities. Beneficial ownership transparency
also facilitates information sharing and international cooperation to combat cross-border
financial crimes.
All stakeholders, including financial institutions, have a crucial role to play in assisting
this endeavour. Compliance Officers, in particular, are entrusted with the gate-keeping
role of ensuring that your respective entities adopt and implement practical and
effective policies and procedures that help to detect, prevent and mitigate money
laundering and terrorism financing risks.
I am therefore pleased to see the participation of Compliance Officers from the different
entities supervised by the Central Bank in today's session. This is an opportunity to
enhance your knowledge on various topics, such as beneficial ownership disclosure
standards and your respective institutions' AML/CFT obligations. More importantly, you
will be presented with the Beneficial Ownership Guidelines - a new tool that outlines
best practices and approaches to identifying and verifying beneficial ownership
information of your legal entity customers.
I hope you make the most of this training and also take the opportunity to share your
experiences, ask questions, and engage with the facilitators and representatives of the
supervisory authorities to boost your capabilities to further strengthen the compliance of
your respective financial institutions. Only through our combined efforts and dedication
can we achieve the goal of having a robust and effective legal framework that aligns
with international standards and protects the integrity of the country's financial system.
On this note, I wish you all a fruitful training session.
Thank you.