Overview of Cayman Islands AML regulations

The Cayman Islands, a major international financial centre, maintains a comprehensive AML framework supervised by the Cayman Islands Monetary Authority (CIMA). The jurisdiction has significantly enhanced its AML and beneficial ownership transparency requirements in response to international pressure.

Key legislation

The Proceeds of Crime Act, Anti-Money Laundering Regulations, and the 2023 Beneficial Ownership Transparency Act form the legislative framework. TCSPs and fund administrators operating in the Cayman Islands face extensive CDD and beneficial ownership obligations.

Beneficial ownership transparency

The Beneficial Ownership Transparency Act requires Cayman entities to maintain beneficial ownership registers and report to the competent authority. This aligns with FATF recommendations on transparency and has significant implications for company service providers and legal professionals administering Cayman structures.