Algeria Eyes Improvement in AML/CFT Practices, New Report Suggests

A recent report by international authorities has given a mixed review of Algeria’s efforts to combat money laundering and terrorist financing. The report assesses Algeria’s compliance with global standards on anti-money laundering (AML) and combating the financing of terrorism (CFT).

Progress Made, but Areas for Improvement Identified

According to the report, Algeria has made progress in implementing some AML/CFT measures, including:

Assessing risk and applying a risk-based approach
National cooperation and coordination
Regulation and supervision of financial institutions

However, the report also identifies several areas that require attention, including:

Partial Compliance

Confiscation and provisional measures
Targeted financial sanctions related to terrorism and terrorist financing
Customer due diligence

Non-Compliance

Regulation and supervision of designated non-financial businesses and professions (DNFBPs)
Transparency and beneficial ownership of legal persons and arrangements
International cooperation

Recommendations for Improvement

The report highlights that Algeria’s AML/CFT framework is still developing and that there are significant gaps in its implementation. To address these gaps, the country will need to:

Strengthen its laws, regulations, and supervision of financial institutions and DNFBPs
Enhance coordination with other countries and international organizations

International authorities have called on Algeria to take immediate action to improve its AML/CFT practices, particularly in areas such as:

Risk assessment
Customer due diligence
International cooperation

Conclusion

While Algeria has made some progress in implementing AML/CFT measures, there is still much work to be done to bring the country into full compliance with global standards. The report suggests that Algeria must prioritize improvement in its AML/CFT practices to effectively combat money laundering and terrorist financing.