The European Commission has officially warned Kiribati for not being transparent about fishing practices in its waters.
The Commission has given Kiribati a 'yellow card' as it has concerns over whether the country can control foreign fleets illegally fishing within its territory.
It said it was worried that illegitimate fish was being laundered through the ports of Kiribati.
The Commission also said Kiribati did not have robust traceability systems and was unwilling to share information about third-country vessels fishing within its waters.
Kiribati is now only one step away from a 'red card', which would mean fish caught within its waters would be banned in the European Union.