Isle of Man sets risk limits with new National Risk Appetite Statement
The Isle of Man has published its National Risk Appetite Statement (NRAS) to improve risk mitigation in the eGaming sector, in response to growing threats from transnational organised crime, particularly in East and Southeast Asia. The statement provides clear guidance for businesses to manage risks in both new and existing relationships, especially in areas linked to eGaming.
The NRAS provides clear guidance for businesses in the eGaming and related sectors to assess both new and existing relationships. It highlights the need for proportionate enhanced measures when higher risk factors are present.
This forms part of the Isle of Man’s wider strategy to keep its economy strong and well-protected. As part of this effort, the Financial Intelligence Unit (FIU) has also published a supporting typologies document, which highlights high-risk jurisdictions and suspicious activity patterns.
Limited appetite for higher-risk entities
In a key section, the NRAS confirms there is “limited appetite” for licensing businesses with ownership or control from East or Southeast Asia, due to growing concerns about criminal exploitation of eGaming platforms and 바카라s.
The statement says that “where there is an accumulation of higher risk factors there is an extremely limited appetite within the regulators to grant a license.” However, the Isle of Man does not outright ban engagement with high-risk jurisdictions. Instead, licensees must follow strict anti-money laundering (AML), counter-terrorist financing (CFT), and proliferation financing (PF) controls in line with the island’s AML/CFT Code.
Reinforcing international standards
The NRAS also aligns with the 40 recommendations by the Financial Action Task Force (FATF), signalling the Isle of Man’s ongoing commitment to meet global compliance standards.
The to respond to complex international risks by strengthening its regulatory framework. This comes as the Isle of Man’s iGaming industry, known for low taxes and rapid growth, continues to attract a wide range of businesses.
Expected developments
Jane Poole-Wilson MHK, Minister for Justice and Home Affairs, said the new measures are an important part of the island’s strategy to remain secure while continuing to welcome reputable businesses.
“Serious and organised transnational crime is a global threat, and the Isle of Man is committed to playing its part in disrupting this activity. The National Risk Appetite Statement is a crucial step in ensuring that our economy remains strong and diverse, while protecting our Island, its people and its businesses from exploitation. The Isle of Man is open for good quality, reputable business. To support those aims, this Statement will provide to industry and wider stakeholders the clarity they need.”
A second, more detailed National Risk Appetite Statement covering the wider business community is expected later in 2025. Meanwhile, the island is conducting its third National Risk Assessment, which will provide updated data and insights on risks, vulnerabilities, and mitigation measures across all sectors.
