The Impacts Of De-Risking On The Caribbean

Prime Minister of Barbados Hon. Mia Motley and Other Caribbean Stake Holders traveled to Washington DC to present statements and address The United States Financial Services Committee, concerning the ‘De-Risking’ trend that is affecting the people of the Caribbean, whereas many large banks, primarily in the United States are discontinuing their correspondent banking relationship with smaller banks in the Caribbean. The trend forces smaller banks in the Caribbean to seek ‘Correspondent Banking’ relationship with alternative solutions that are extremely costly

As mentioned in this segment (April 2022 CARICOM FinSec conference) (article) (video), the prime minister of Belize indicated that Belize was forced to use a Correspondent Bank in Puerto Rico, which was listed very low on a list by the IMF for its credibility in the global financial sector.