The External Relations Minister faced questions around the island’s economic ties with Rwanda amid international concerns over current M23 hostilities in the Democratic Republic of the Congo.
Deputy Ian Gorst discussed Jersey’s financial links to the region with the Economic and International Affairs Scrutiny Panel last week.
But why is the island’s relationship with Rwanda under the microscope? Express took a look…
What is happening in DRC?
At the start of the year, one of the world’s longest running conflicts appeared to enter a new chapter – when M23 rebels captured major cities in eastern DRC.
The UN Security Council has condemned the ongoing offensive, which it claims is being supported by Rwanda.
The UK has ceased “high-level attendance” at events hosted by the Government of Rwanda and paused direct bilateral financial aid to the country, with the exception of “support to the poorest and most vulnerable”.
It has also suspended future defence training assistance to Rwanda and is reviewing export licences for the Rwanda Defence Force.
Financial ties to the region
During a recent scrutiny hearing, panel chair Deputy Montfort Tadier asked Deputy Gorst whether any wealth from Rwanda was being “managed or kept” in the island.
Deputy Gorst replied: “There are funds from Rwanda in Jersey.
“There are structures in Jersey that operate in DRC, in mining.
“The Jersey structures that operate in Rwanda, I think we can probably describe as minimalist, very small amounts of money, either flowing or held in Jersey.”
Deputy Tadier noted international concerns over M23 rebels taking over “profitable” mines on the eastern side of DRC, from which Rwanda is allegedly benefitting.
He asked Deputy Gorst if that was something he “would wish to make sure that Jersey doesn’t have any indirect or direct part in”.
Deputy Gorst responded: “Of course, we wouldn’t want any Jersey company to be operating illegally in any area or to be involved in military action.”
Referencing the recent Moneyval assessment, he added that it was important “that we in Jersey and any Jersey company or any institution structured through Jersey meets the very highest international standards”.
Deputy Gorst also noted that there were no UK sanctions currently in place “on any of these companies operating mining ventures connected to Jersey in the DRC”.
A “longstanding relationship”
The island’s renewed MOU with Rwanda was also raised during the hearing, with Deputy Tadier asking the External Relations Minister whether he had “any regrets about the relationship Jersey has entered into” with the country.
Deputy Gorst answered: “Jersey has had a longstanding relationship with Rwanda.
“It comes back to that point that, before we enter into relationships with countries and develop either MOUs, or bilateral investment treaties, or double taxation agreements, of course we liaise with the UK Foreign Office.
“Every time we have an in-country visit then we also liaise, speak to and get an understanding on the ground from the FCDO as well.
“At the point that we entered into the new strengthened MOU there was no indication that there was any objection to doing so”.