Financial Crime World

Centre Emphasizes Importance of AML/CFT Compliance for Financial Institutions

The Financial Intelligence Centre (FIC) has emphasized the need for Accountable Institutions (AIs) to develop institutional-based Anti-Money Laundering/Combating the Financing of Terrorism (AML/CFT) compliance manual/policy documents.

AML/CFT Reporting Requirements

According to the FIC’s 2018 Annual Report, AIs are required to submit their annual AML/CFT reports in accordance with Section 41(a) of Act 749, as amended. The report highlights the importance of institutional risk assessment and applying a risk-based approach (RBA) in conducting due diligence on clients.

Employee Education and Training

The FIC emphasized the need for institutions to develop employee education and training programs to ensure that staff are equipped with the necessary knowledge and skills to effectively implement AML/CFT measures. This includes:

  • Developing institutional- based policies and procedures
  • Conducting regular risk assessments
  • Applying a risk-based approach (RBA) in conducting due diligence on clients

Strengthening Collaboration with Stakeholders

To strengthen collaboration with key stakeholder institutions, the FIC received requests from financial sector regulators, including the Bank of Ghana and the National Insurance Commission, to conduct background checks on key management staff and shareholders.

Training and Capacity Building

The FIC trained 84 personnel from various law enforcement agencies in AML/CFT matters, asset recovery, and detective skills and knowledge. The Centre also organized a national sensitization seminar for high-level religious leaders and institutions on implementing AML/CFT measures, sponsored by GIABA.

Additionally, the FIC conducted in-house training/orientation programs for newly appointed compliance officers/AML Reporting Officers (AMLOs) from various institutions.

Training Statistics

The report highlights that:

  • 1,715 participants were trained in the year 2018
  • Banking and securities training being the most prominent

The Centre also recognized the importance of independence of Compliance Officers under the Act and their responsibilities as placed by sectoral AML/CFT guidelines.

Conclusion

The FIC’s efforts aim to strengthen the fight against money laundering and terrorist financing in Ghana. It is crucial that financial institutions adhere to the reporting requirements and develop robust AML/CFT compliance frameworks to ensure effective implementation of these measures.