Opening a bank account or an investment account in Jamaica just got a little bit easier! Hallelujah!

You no longer need two references to open a bank account or an investment account! 

Yup, the Bank of Jamaica and the Financial Services Commission have removed the requirement for new customers to provide contact information for two people before you can open an account. 

Now, the country’s know-your-customer requirements have been a pain for many Jamaicans over the years. It feels like banks require an arm and a leg to open accounts and it makes the process tedious and time-consuming. 

Before this rule was removed, you would need your Tax Registration Number, a valid government-issued or work photo ID, proof of address and proof of your source of funds, in addition to two references. 

And the references couldn’t be just anybody. One of them had to be a customer at the institution, and there was a long list of people who could be the other reference. A justice of the peace, minister of religion, an employee from the institution, a member of parliament, a deputy superintendent of police and so on and so on.

Now, you  will only need to submit your TRN, photo ID, proof of address and source of funds. 

But I wanna emphasise an important point here. While references are no longer mandatory by the BOJ, individual financial institutions can still require customers to provide references.

Remember the reason that Jamaica has such strict KYC requirements in the first place is so that we can adhere to international standards against money laundering and terrorism financing (AML/CFT).

So even though it’s no longer a must, based on the BOJ’s own risk assessments, banks can still ask for references.

But some institutions have reportedly already stopped asking for them.

The BOJ said the decision to remove the requirement was based on industry feedback and international best practices. Additionally, the BOJ noted that things and time change. 

Not many people can readily find an MP, JP, police superintendent or Judge to be a reference.

When we talk big picture, this move also signals a win for Jamaica overall. As I said, Jamaica has some of the strictest KYC requirements in the region. We were the only Caribbean country that required references in the first place. But that’s because of our global standing when it comes to AML/CFT measures. 

But as our laws and surveillance improves, so does our global standing. And the effect of that is it becomes easier to do business in the country.

And that’s the bottom line.