Curaçao Jurisdiction exiting the Third Round of Mutual Evaluations

The November 2016 Plenary in Providenciales, Turks and Caicos Islands, recognised the jurisdictions that have made significant progress in addressing the deficiencies identified during the Third round of Mutual Evaluations conducted by the CFATF and that have exited the follow- up process.

Curaçao addressed the deficiencies identified in the Mutual Evaluation Report (MER) adopted by the CFATF Plenary in May 2012 in El Salvador; therefore Curaçao has exited the follow-up process of the third round of Mutual Evaluations of the CFATF.

At the time of the adoption of the MER, Curaçao had nine Core and Key Recommendations rated partly compliant (PC) and, as no Core and Key Recommendations were rated as non- compliant (NC), Curaçao was placed in regular follow-up reporting on a yearly basis. Curaçao submitted four follow up reports and a final report to exit the third round of follow-up.

Curaçao has strengthened its legal and regulatory anti-money laundering and financing of terrorism framework, with the adoption of a new Penal Code, and various National Ordinances and Ministerial Decrees. Processes, procedures, and provisions and guidelines have also been incorporated in the regulatory framework.

As Curaçao has successfully addressed all the deficiencies identified in the Core and Key Recommendations number 4, 5, 13, 26, 35, SRs. I, II, III and I, in Sept. 7, 2016 Curaçao applied to exit the third round of Follow-Up process.

By the Plenary meeting in November 2016, Curaçao presented the Fifth Follow-up report in which all the Core and Key Recommendations reached the level of compliance comparable to at least LC.

Based on the above, Curaçao was successfully approved by the CFATF Plenary in Providenciales, Turks and Caicos Islands in November 2016, to exit the Third round of Follow- up.

Curaçao’s Voluntary Tax Compliance Legislation meets International Standards

At its June 2012 Plenary Meeting, the FATF considered the FATF’s four basic principles on Voluntary Tax Compliance (VTC) and determined that there were initial concerns about the potential impact of the VTC programme in Curaçao on the effective application of AML/CFT measures.

The government of Curaçao in its ongoing dialogue with the FATF committed to ensuring that its VTC programme was consistent with the four basic principles, and to providing the FATF with additional information and clarifications so that the matter could be further considered by the FATF in October 2012.

In keeping with these obligations Curaçao provided additional materials and clarifications on the characteristics of its VTC programme, in order to demonstrate that the programme does not undermine overall effective application of AML/CFT measures in the country.

The FATF considered the issue again and determined that Curaçao’s VTC programme did not have any negative impact on the implementation of AML/CFT measures in the jurisdiction.

Curaçao has undertaken to keep the FATF informed of any development or new elements added in the programme and the FATF will continue to monitor the situation and conduct further review of any additional information.

MER of Curaçao

Prime Contact of Curacao

Centrale bank van Curacao,
Simón Bolívar Plein 1 Willemstad, Curaçao
Phone: 599 9 434 5500, Fax: 599 9 461 5004