Financial Crime World

Risk-Based Approach to AML/CFT Supervision and Monitoring in Nicaragua Takes Center Stage

The World Bank’s RBA Toolkit has launched a program aimed at assisting Nicaragua in establishing a risk-based approach to anti-money laundering (AML) and combating the financing of terrorism (CFT) supervision and monitoring framework for all financial sectors.

Program Overview

The transition from a traditional to a risk-based approach requires careful planning, coordination, and expertise. The RBA Toolkit is designed to provide participants with practical skills to apply a risk-based approach to supervision, ensuring effective controls at reporting entities and ongoing information flow from the bottom up.

Program Components

The program consists of seven modules, including:

  • Module 2: The Design: Essential for all projects
  • Module 4: The Practice: Essential for all projects
  • Other modules can be selected based on Nicaragua’s specific needs and requirements

Through this initiative, participants will learn how to:

  • Build on findings from risk assessments
  • Align legislation with the risk-based approach
  • Develop supervision and monitoring strategies
  • Assess institutional risks on an ongoing basis

The RBA Toolkit

The RBA Toolkit is a set of practical tools, templates, and exercises that showcase international examples and are designed around actionable knowledge. It provides a comprehensive understanding of the requirements of international standards and offers a framework for effective AML/CFT supervision and monitoring.

Benefits to Nicaragua’s Financial Sector

Nicaragua’s financial sector stands to benefit significantly from this program, as it will:

  • Enhance the country’s ability to mitigate risks
  • Develop effective controls
  • Ensure ongoing supervision

Program Support and Timeline

The World Bank’s team will provide remote support and periodic video conferences to assist Nicaragua in implementing a risk-based approach. The program is expected to take approximately 18 months to complete, with fewer modules requiring less time.

Contact Information

For more information, please contact:

  • Kuntay Celik, Senior Financial Sector Specialist
  • Phone: +1.202.4587874
  • Email: Kcelik@worldbank.org