The Observed Effects of Money Laundering for Jamaica - Caribbean ...

the form of the use of remittance services and also the use of money
couriers. With the emergence of a large Diaspora of Jamaicans the
emergence of the Western Union Money Transfer system has provided
as an ideal way used by launderers to send their dirty money to
Jamaica.
The UN General Assembly noted that the Trade Liberalization
and free trade zones provided additional venues for laundering money.
This notion is further supported by Ali (2000). The UN General
Assembly further noted that the laundering system is shifting from the
banking system to the use of international trade. An example of the
used of this method was provided by FATF report on money
laundering Typologies where it was noted that launderers would pay
large sums of money for worthless goods, which the payments were in
fact proceeds for illegal activities. When the goods were received
they were either thrown away or sold as junk.
The Caribbean has the seventh largest deposit base in the world
with 550 banks only 17 are subject to Anti-Money Laundering Laws
which makes it very attractive for launderers. Offshore financial
sector can be defined as “hosts financial activities that are separated
from major regulating units by geography and/or legislation”, DESG
Annual Conference. The Un General Assembly noted that “the
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