Financial regulators in The Bahamas have imposed economic sanctions on financial resources of the Russian Federation and Belarus following Moscow’s decision to launch a military invasion of Ukraine late last month.
“After consultation with the government of The Bahamas and with due consideration to interests of this jurisdiction and the financial services sector operator within it, the agencies comprising the Group of Financial Services Regulators (GFSR) hereby direct regulated entities that are licensed or authorized to operate from or within The Bahamas not to engage in transactions with sanctioned persons, entities or businesses linked to Russia and Belarus.
“Regulated entities should apply the highest level of risk management controls to deter the potential for any misuse of the Bahamian financial system in the current global environments and indeed every circumstance.
“For the purposes of this directive, sanctions include those issued by the United States, Canada, United Kingdom, the European Union and other jurisdictions, which the GFSR may specify from time to time.”
The GFSR includes the Central Bank of The Bahamas, Securities Commission of The Bahamas, Insurance Commission of The Bahamas, Compliance Commission of The Bahamas, and the Gaming Board.
The United States, the European Union, the United Kingdom, Canada, and a number of other countries have sanctioned Russia for its unprovoked invasion of Ukraine.
Last week, the Bahamian government warned local companies to be very cautious when conducting business with any Russian entity even as the main opposition Free National Movement (FNM) called on Nassau to act more decisively in the interest of sovereignty.
A statement from the Cabinet Office said the issue of sanctions against Russia following its invasion of Ukraine had been discussed last Tuesday and “we are in consultations with all our partners and stakeholders, both domestic and international. This remains an evolving matter.
“In the meantime, we are advising all entities within The Bahamas that they ought to deal with appropriate caution in respect of any transactions in our country with Russian individuals and entities who have been sanctioned by the United States, EU, Canada and the United Kingdom, the statement said, adding “we continue to deplore the attack on Ukraine by the Russian Federation”.
Caribbean Community (CARICOM) leaders including Prime Minister Phillip Davis had agreed at their Inter-Sessional Summit in Belize earlier this month to leave the possible imposition of sanctions on Russia to individual member states.
“We discussed the issue of Russia at length. CARICOM felt that that is something we should do as individual countries. We have to decide what kind of sanctions, if any, we can take as countries and not as CARICOM,” said CARICOM chairman and Belize Prime Minister John Briceño.
CMC/
