In a jurisdiction update speech, the British Virgin Islands Ministry of Finance set out the government’s response to the Financial Action Task Force (FATF) decision to place the territory under increased monitoring (the “grey list”), committing to work with FATF and the Caribbean Financial Action Task Force to strengthen the effectiveness of its anti-money laundering and countering the financing of terrorism (AML/CFT) regime. The minister noted that the grey-listing followed the Mutual Evaluation Report published in February 2024 after an on-site visit in March 2023, and that many deficiencies had already been addressed to the FATF’s satisfaction. The action plan spans six areas: risk-based supervision of trust and company service providers, investment businesses and virtual asset service providers; ensuring accurate, up-to-date beneficial ownership information is available to competent authorities and that breaches are sanctioned; improving the quality and risk-alignment of suspicious activity reports; systematically pursuing money laundering investigations and prosecutions in line with risk; increasing the seizure and confiscation of criminal proceeds; and operationalising a new asset management framework. The government’s stated objective is to be removed from the grey list within the next two years, supported by continued regulatory and political engagement. The speech also pointed to broader sector priorities, including support for fintech and digital assets, and referenced the Financial Services Commission’s establishment of a Virtual Asset Service Provider Advisory Committee in March 2025 to formalise engagement with a private-sector group on virtual asset matters.