Press Release 21 of 2025 - Guidance on Terrorist Financing Red Flags

Guidance on Terrorist Financing Red Flags

Tortola, British Virgin Islands – Wednesday, 5 November 2025 – The BVI Financial Services Commission (FSC) has issued guidance on terrorist financing red flags to enhance compliance across the financial services sector in meeting obligations under the Virgin Islands’ Anti-Money Laundering, Countering the Financing of Terrorism, and Countering Proliferation Financing (AML/CFT/CPF) framework.
 
The Terrorist Financing (TF) Red Flags Guidance (the “Guidance”) builds on previously issued AML/CFT resources and supports findings in the Virgin Islands 2025 Terrorist Financing Risk Assessment, which identified areas where Financial Institutions (FIs) and Designated Non-Financial Businesses and Professions (DNFBPs) may be exposed to TF risks. The Guidance  supports FIs and DNFBPs in identifying and responding to TF risks.

The Guidance provides practical examples and indicators related to:

• Obscure beneficial ownership;
• The misuse of BVI legal persons and legal arrangements;
• The inadequate oversight of non-profit organisations (NPOs);
• Attempts to circumvent targeted financial sanctions (TFS);
• The suspicious use of cash; 
• The use of informal or alternative money transfer systems;
• The misuse of virtual assets and VASPs; and 
• Unusual or Inconsistent Customer Behaviour and Transaction Patterns.

The Guidance also highlights steps to enhance detection and reporting of possible TF activity, including strengthened due diligence, sanctions screening, monitoring, training and record-keeping.

The FSC encourages all supervised entities to review and apply this Guidance to maintain strong AML/CFT/CPF compliance and protect the integrity of the Virgin Islands’ financial system.

The Terrorist Financing Red Flags Guidance is available on the FSC’s website here. 

About Us

The BVI Financial Services Commission is the autonomous regulatory authority responsible for the regulation, supervision, and inspection of all financial services in and from within the Virgin Islands.

Queries concerning the contents of this Press Release may be directed to:

AML/CFT Unit
BVI Financial Services Commission
18 Pasea Estate Road, Tortola VG1110
British Virgin Islands
Tel: (284) 494-4190
Email: [email protected]