Globalization, Financial Crime and the Expansion of Southern Criminology: Confronting the Challenges of Money Laundering and Terrorism Financing in Vanuatu

Abstract

Globalization has liberalized the flow of financial resources across national borders, creating numerous economic opportunities for small island developing countries, including Pacific Island countries. While the benefits of globalization are evident, it has also transformed the financial system into a prime target for money launderers and terrorism financiers. The fight against money laundering (ML) and terrorism financing (TF) has required substantial efforts from both developed and developing countries. Vanuatu is no exception. The Pacific Island countries (PICs) are currently experiencing intensifying geopolitical competition – what Comolli describes as the region becoming “a crowded space” of diplomatic, commercial and criminal interests – which suggests that the challenges of detecting and prosecuting money laundering and terrorist financing (ML/TF) are increasing exponentially. As the cases of ML/TF continue to rise, there are significant opportunities for Southern criminology to expand its global influence. The findings of this study confirm that ML/TF activities in Vanuatu contribute to the convergence of the Global North and South, as many of the ML/TF transactions involve both local and foreign entities. However, this convergence is not merely technical; it is deeply rooted in the political and structural factors increasingly shaping the criminal landscape, while local communities find themselves caught in the middle of these geopolitical machinations. However, Vanuatu’s ability to effectively identify, track, monitor and prosecute ML/TF cases is limited by a shortage of skilled professionals, including forensic investigators, litigation experts, computer engineers and lawyers. The findings of this study argue that addressing these limitations requires technical capacity alongside what Southern criminology terms “cognitive justice.”