FATF status

Montserrat is not on the FATF List of Countries that have been identified as having strategic AML deficiencies

Compliance with FATF Recommendations

It should be noted that the new style FATF Mutual Evaluation has not yet been undertaken.

The last Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Montserrat was undertaken by the Financial Action Task Force (FATF) in 2011. According to that Evaluation, Montserrat was deemed Compliant for 3 and Largely Compliant for 25 of the FATF 40 + 9 Recommendations. It was Partially Compliant or Non-Compliant for 2 of the 6 Core Recommendations.

In 2016, it was recognised that Montserrat had made significant progress in addressing deficiencies identified in its original Mutual Evaluation report and, therefore, it was decided that the country should be removed from the regular follow-up process.

Montserrat's economy has been heavily influenced by volcanic eruptions, particularly the 1995 event that devastated much of its infrastructure. The island relies significantly on approximately £25 million in annual financial support from the British government, with its economy primarily based on tourism, rum production, and agriculture, while recent initiatives focus on renewable energy and infrastructure development.

The investment climate in Montserrat benefits from its status as a British Overseas Territory, which offers political stability and legal protections for investors. However, challenges such as ongoing volcanic activity and a limited market size may deter potential investors. Initiatives like the Little Bay Port Development Project and renewable energy explorations present opportunities for investment in infrastructure and sustainable projects.