Smith touts BVI’s fintech prowess amid grey-listing

The government is forging ahead with plans to boost its fintech industry, even as it works to address the concerns that led to its grey-listing by the Financial Action Task Force (FATF) earlier this month.

Speaking at the RISA BVI and South Square Conference on Peter Island, Junior Minister for Financial Services Lorna Smith said the territory remains focused on innovation in digital finance while pushing to exit the FATF’s increased monitoring list “within the minimum possible time.”

“We see the development of our fintech business as a significant driver of growth,” Smith stated. She added, “The BVI was one of the first jurisdictions in the world to actively encourage the development of fintech and expand our digital assets offer.”

The FATF grey-listed the BVI on June 14th following a mutual evaluation process that began with an onsite review in March 2023. According to Smith, the government and regulators have already implemented several key changes and remain politically committed to satisfying FATF recommendations.

“The FATF has recognised that our anti-money laundering and countering the financing of terrorism is broadly sound,” Smith explained.

Among the fintech developments outlined, Smith highlighted the BVI’s launch of a Regulatory Sandbox in 2021, the passage of the VASP Act, and the formation of a Virtual Assets Service Providers Advisory Committee in March 2025. These steps, she said, demonstrate the jurisdiction’s seriousness in integrating fintech into its regulatory and economic framework.

“Our marketing and promotions arm, BVI Finance, is currently working with the Robert Mactavious Institute and the National University of Singapore to design a practical course to teach fintech and regtech at various levels,” Smith noted.

She also pointed to the upcoming “Fintech on the Seas” digital assets summit scheduled for June 25 to 27 on Necker Island as another indication of the BVI’s commitment to the industry.

The financial services sector remains the largest contributor to government revenues, and the BVI is seeking further growth in areas like arbitration, insolvency, and climate finance.

“Our determination to succeed will never change, nor will our commitment to good governance, robust financial regulation and positive partnerships,” Smith said.