Financial Crime World

Institutional Development of the Financial Reporting Center (FRC)

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National AML/CFT Committee and Taskforce


The National Anti-Money Laundering Council (NAMLC) has policy-making and oversight responsibility for the Anti-Money Laundering/Combating the Financing of Terrorism (AML/CFT) regime in Somalia. Key responsibilities include:

  • Developing a national strategy to combat money laundering and terrorist financing
  • Providing funding for capacity building initiatives
  • Setting strategic priorities for the FRC
  • Establishing information sharing arrangements
  • Enhancing domestic coordination

Taskforce


The AML/CFT Taskforce was created to operationalize and enforce NAMLC directives. Key objectives include:

  • Identifying money laundering/terrorist financing (ML/FT) risks
  • Proposing institutional arrangements for training and capacity-building initiatives
  • Reviewing legal reforms necessary for effective combat against ML/FT

Financial Reporting Center (FRC)


The FRC is an independent national agency responsible for:

  • Receiving, analyzing, and disseminating information concerning money laundering and terrorist financing
  • Investigating financial crimes
  • Issuing regulations and guidelines for reporting entities

Role of the FRC


The FRC aims to become a trusted and exemplary agency in support of a robust financial system hostile to financial crimes. Key objectives include:

  • Building an environment that identifies and eradicates ML/FT
  • Fulfilling Somalia’s international obligations to combat money laundering and terrorist financing

Key Stakeholders Involved in the Taskforce


The following stakeholders are involved in the Taskforce:

1. Director of FRC (Chair)

  • Provides overall leadership and direction for the Taskforce

2. Deputy Governor of the Central Bank

  • Represents the financial sector’s interests and expertise

3. Deputy Director General of NISA

  • Brings law enforcement expertise to the Taskforce

4. Deputy Attorney General

  • Ensures that legal considerations are taken into account

5. Director General of the Ministry of National Security

  • Represents national security interests and concerns

6. Director General of the Ministry of Finance / Customs

  • Brings expertise on financial regulations and customs operations

7. Director General of the Ministry of Commerce and Industries

  • Represents the interests of businesses and commerce

8. Director General of the Ministry of Justice

  • Ensures that legal considerations are taken into account