Fiji races to close gaps ahead of money laundering assessment

Fiji’s looming international money laundering assessment could have implications for the country’s economic outlook, Finance Minister Esrom Immanuel says.

However, Mr Immanuel does not believe the assessment will reach a level that would damage Fiji’s relationship with the International Monetary Fund (IMF) and World Bank.

His comments follow warnings from Acting Attorney-General and Minister for Justice Siromi Turaga, who told Parliament this week that Fiji was at high risk of money laundering linked to narcotics, organised crime, tax offences, illegal fishing, bribery and corruption.

Mr Turaga warned that a poor outcome from Fiji’s Asia-Pacific Group mutual evaluation next month could result in the country being grey-listed, with potential implications for trade and financing decisions by the IMF, World Bank and international banks.

Mr Immanuel acknowledged there could be economic implications but played down the prospect of the assessment affecting Fiji’s relationship with the major international financial institutions.

"I don't think it will go up to that level, but it will have some implications on the outlook for Fiji," Immanuel said.

He said Government agencies were working together to address weaknesses identified through Fiji’s National Risk Assessment.

A taskforce-style council involving the Fiji Police Force, Fiji Financial Intelligence Unit, Reserve Bank, Fiji Revenue and Customs Service and the Attorney-General's Office meets regularly to address the gaps.

"For us we need to, as an institution, we need to work closely. From FIU, Reserve Bank, FRCS, Ministry of Finance and the AG's office, to ensure that all the loopholes, including immigration, all the loopholes are dealt with," he said.

Fiji faces its Asia-Pacific Group mutual evaluation next month.

Mr Immanuel confirmed the Government was moving to close identified gaps "as soon as possible."