Monrovia – Liberia’s Financial Intelligence Unit has held a stakeholders’ validation of three Legal Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) instrument in Monrovia in order to avoid being downgraded by at a regional summit expected in Dakar, Senegal this November.
GIABA is an institution of the Economic Community of West African States responsible for facilitating the adoption and implementation of Anti-Money Laundering (AML) and Counter-Financing of Terrorism (CFT) mechanisms in West Africa.
The Inter-Government Action Group against money laundering in West Africa (GIABA) conducted a Mutual Evaluation of Liberia’s Anti-Money Laundering and Countering Financing of Terrorism (AML/CFT) regime in November 2010, pointing out significant deficiencies in Liberia’s efforts to curb the crimes.
Since then, Liberia is yet to address a significant component of these deficiencies.
Speaking at the stakeholders’ validation meeting at the Central Bank of Liberia on Tuesday September 24, 2019, the Assistant Director for Corporate Affairs at the Financial Intelligence Unit, Bobby Quiwu Harris, said during the final report of the GIABA 30th Technical Commission/Plenary meeting held in November 2018 in Banjul, The Gambia, Liberia was admonished to make progress in resolving its deficiencies.
According to the FIU Assistant Director, enactment of the Financial Intelligence Agency Act; and the Money Laundering, Terrorist Financing, Preventive Measures and Proceeds of Crime Act are some of the deficiencies yet to be resolved.
He said these regional laws must be enforced to tackle money laundering and terrorism in the region incluidng Liberia.
“These legal AML/CFT instruments, being a part of the African Development Bank (AFDB) budget support triggers for Fiscal Year 2019/2020, must be addressed before the next Technical Commission/Plenary meeting in November 2019,” Harris said.
“The country’s failure to pass, approve and publish these legal instruments could lead to several consequences, including a possible downgrade of Liberia by the GIABA at the next plenary meeting.”
Harris calls on stakeholders to make their input before the Legal AML/CFT instruments reach President George Weah for signing.
Also speaking, the Deputy Director for regulation Supervision at the Central Bank of Liberia Fonsia Mohammed Donzo said if Liberia refuses to resolve its deficiencies, this will undermine the efforts of other nations in the region.
He added that technical compliance and effectiveness in the law are the two main focus in dealing with Anti-Money Laundering and Countering the Financing of Terrorism.
“One of the major impacts is [there will be] no financial institution [that] will want to do business with a financial institution in Liberia. Secondly, no investor will want to put their money into Liberia because they will say Liberia is not saved. They will say we have criminals in the country,” Donzo said.
At the same time, Prince Akoi Thompson, an Economist and Technical Focus Person for Budget Support Operation at the Ministry of Finance, said Liberia is poised to receive from the African Development Bank an amount of US$4million every year in the regulations is enforced.