NASSAU, BAHAMAS — The government is developing a comprehensive national artificial intelligence policy aimed at harnessing opportunities for the financial services sector while addressing potential risks, Attorney General and Minister of Legal Affairs, Senator the Hon. Ryan Pinder K.C., said Wednesday.
Speaking at the Association of International Banks & Trust Companies’ Nassau Conference, Pinder highlighted that AI presents both significant benefits, such as streamlining operations, enhancing customer service, and improving risk management, and potential threats, including fraud, misinformation, and security breaches of sensitive banking data.
“We recognize these risks and opportunities. The Government of The Bahamas is in the process of seating an expert policy committee that will be tasked with preparing a comprehensive AI country policy,” Pinder said, adding that the financial services industry will be a key focus of the initiative.
Delivering remarks under the theme “Blueprint to Broadening Global Reach,” Pinder emphasized that the government has aggressively advanced legislation to strengthen the country’s international competitiveness and ensure compliance with global regulatory standards. “Legislation that broadens the global reach of our jurisdiction must address several different priorities,” he said. “This includes ensuring compliance with global regulatory standards, keeping our laws up to date so our products remain competitive, and developing new offerings in response to changing marketplaces.”
Pinder outlined reforms aimed at ensuring The Bahamas is prepared for the 5th Round FATF Mutual Evaluation of its Anti-Money Laundering/Counter Terrorist Financing/Counter Proliferation Financing regime next year. He explained that amendments to six critical pieces of legislation, including the Proceeds of Crime Act, the Register of Beneficial Ownership Act, the Companies Act, and the Financial Transactions Reporting Act, were designed to strengthen beneficial ownership transparency, civil forfeiture enforcement, and international cooperation in asset recovery. “These legislative reforms are not merely technical compliance exercises,” Pinder said. “They are essential tools in the fight against illicit finance, transnational organized crime, and the financing of terrorism and weapons proliferation.”
Beyond compliance, Pinder emphasized maintaining the competitiveness of The Bahamas’ trust and estate planning sector. Amendments to the Arbitration Act, Trustee Act, and Banks and Trust Companies Regulation Act were introduced to allow greater use of arbitration in trust disputes while protecting confidentiality. “The industry was clear that confidentiality in trust matters is vital for the integrity of the family planning structure and to continue The Bahamas as a world leader,” he said.
The Attorney General also highlighted new product offerings and legislative reforms, including the Segregated Accounts Company Act, 2025, which modernizes a 21-year-old framework. The revised law permits flexible restructuring, redomiciling, and incorporation of accounts, creating opportunities for attracting business from key international markets. “With the introduction of these flexible opportunities, we can see an influx of SACs into the jurisdiction,” Pinder said.
Looking to the future, Pinder noted that The Bahamas is exploring regulation and structure for decentralized autonomous organizations (DAOs), blockchain-based entities governed by code and member votes. “We think this is very exciting and will be a welcomed development internationally in the fintech space,” he said, noting ongoing collaboration with the Securities Commission to develop viable legal and structural frameworks.
Concluding his address, Pinder reaffirmed the government’s commitment to supporting the growth and diversification of the financial services industry. “As we work on formulating our Blueprint to Broadening Global Reach, you can rest assured the Government of The Bahamas is committed to ensuring that we have the legislation and government policy in place to ensure continued international compliance while being innovative and forward-thinking in advancing the business of financial services,” he said.
