Bahamas Central Bank dismisses rumors of impending U.S. sanctions on local bank
Key Points(5)
- The Central Bank of The Bahamas has dismissed as false claims circulating on social media that a major bank operating in the country is facing impending sanctions from the United States, assuring depositors that the domestic financial system remains stable.
- In a statement issued Monday, the Central Bank said a flyer being shared on social media and messaging platforms falsely suggested that the stability and operations of major commercial banks in The Bahamas were under threat because of proposed U.S.
- The regulator said the claims were misleading and unsupported by any credible source, adding that banks in the country remain secure and fully operational.
- The rumors appear to have followed comments from the U.S.
- Treasury secretary on Sept.
The Central Bank of The Bahamas has dismissed as false claims circulating on social media that a major bank operating in the country is facing impending sanctions from the United States, assuring depositors that the domestic financial system remains stable.
In a statement issued Monday, the Central Bank said a flyer being shared on social media and messaging platforms falsely suggested that the stability and operations of major commercial banks in The Bahamas were under threat because of proposed U.S. sanctions.
The regulator said the claims were misleading and unsupported by any credible source, adding that banks in the country remain secure and fully operational.
The rumors appear to have followed comments from the U.S. Treasury secretary on Sept. 10 indicating that Washington intended to sanction an unnamed “large bank” on Sept. 14 as part of a wider effort targeting financial networks supporting the Iranian government.
However, the Central Bank said the financial institutions targeted in the U.S. campaign have been linked to Iranian sanctions evasion elsewhere in the world and that the actions have no connection to The Bahamas, its financial system or any bank licensed in the country.
The flyer reportedly referenced three Canadian-affiliated banks operating in The Bahamas. The Central Bank said all three are established, capitalized institutions that it licenses and supervises, and that their banking services continue to operate normally.
The regulator also sought to reassure customers about the broader health of the financial sector, describing the Bahamian banking system as sound and well-regulated.
It said institutions are required to comply with global sanctions requirements as well as regulations covering anti-money laundering, counter-financing of terrorism and anti-proliferation financing. The Central Bank regularly issues sanctions notices requiring supervised financial institutions to review their records for assets connected to sanctioned people and entities.
The bank also noted that Bahamian-dollar deposits held at banks and credit unions are protected under the country's deposit insurance system.
Officials urged residents not to make financial decisions based on unverified information circulating online and cautioned against forwarding the flyer.
Instead, the public was advised to seek information from the Central Bank, licensed financial institutions, the Deposit Insurance Corporation and official government communications.
The Central Bank said it takes the spread of false financial information seriously because of its potential to create unnecessary public concern and pledged to issue updates if any development arises that could genuinely affect depositors in The Bahamas.
