This year’s United States State Department’s International Narcotics Control Strategy Report (INCSR) has recommended that government implement the 2001 counterdrug bilateral agreement with the United States, to suppress illicit trafficking by sea and air.
“As it has in the past, the report said that Guyana continues to be a transit country for cocaine destined for the United States, Canada, the Caribbean, Europe, and West Africa. Cocaine originating in Colombia is smuggled to Venezuela and onward to Guyana by sea or air. It said that drug traffickers are attracted by the country’s “poorly monitored ports, remote airstrips, intricate river networks, porous land borders, as well as corruption and under-resourced security sector,” a release stated.
The NCSR 2019 report, which focuses on Drug and Chemical Control and Money Laundering and Financial Crimes, states that during the first nine months of 2018, authorities seized 164.9 kilogrammes (kg) of cocaine and 889 kg of cannabis. Added to that, Guyanese authorities initiated 358 prosecutions and convicted 24 individuals for drug trafficking.
It is also pointed out that Guyana has a growing domestic drug consumption problem and that marijuana is the most widely used illicit drug in Guyana, followed by cocaine.
Nevertheless, it states that despite the challenges, government has demonstrated a political will to combat the trafficking of illicit drugs through Guyana.
“The current administration, which took office in May 2015, has expressed a strong willingness to cooperate with the United States on drug control, extradition, mutual legal assistance, and other international crime issues,” the report said.
It was further stated that Guyana has shown a strong interest in collaborating under the Caribbean Basin Security Initiative (CBSI), a security partnership between the United States and Caribbean countries that seeks to substantially reduce illicit trafficking, advance public safety and citizen security, and promote justice.
“Efforts to increase law enforcement capabilities, protect borders, air and seaports, strengthen workforce development, and promote anti-money laundering effectiveness directly address priority concerns shared by Guyana and the United States,” it was said.
While the report said that “as a matter of policy, the Government of Guyana does not encourage or facilitate the illicit production or distribution of narcotics or psychotropic drugs or other controlled substances or the laundering of proceeds from illegal drug transactions,” it, however, states that due to a lack of resources, weak law enforcement institutions, an ineffective judicial system, and inadequate compensation for civil service employees and public safety officials, corruption is facilitated throughout all sectors locally.
Money laundering
The report found that while Guyana has strong legislation relating to money laundering, the country also lacks standardized provisions for secure electronic communications and transactions, as well as a national strategic plan for combatting money laundering and terrorist financing.
“Meantime, the report said that Guyana has shown strong political will to combat money laundering and has made progress on the AML front. However, the government still needs to train the judiciary on matters pertaining to the investigation and prosecution of financial crimes,” the release said.
“Unregulated currency exchange houses and dealers in precious metals and stones pose a risk to Guyana’s AML/CFT system. Other sectoral vulnerabilities include the banking industry and unregulated attorneys, real estate agents, used car dealers, and charities. Guyana has made significant progress on the AML front, but more investigations and successful prosecutions are needed,” the report explained.
It was advised that government devise and implement a national strategic plan for combating money laundering and that legislation be enacted for the facilitation and regulation of secure electronic communications and transactions.
“It also suggested that reporting and investigating entities should also improve their interagency coordination, and the Guyana Revenue Authority (GRA) should report suspicious transactions to SOCU and SARA,” the release added.
The release noted that Guyana’s National Risk Assessment 2017 found that the country has a medium-to-high money laundering risk. Additionally, last year’s report placed the country on the Major Money Laundering” list of jurisdictions.
