Financial Crime World

Albania Introduces Stringent AML/CFT Regulatory Requirements for Financial Institutions

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Combating Money Laundering and Terrorist Financing

Tirana - In a bid to combat money laundering and terrorist financing, Albania has implemented stringent regulatory requirements for financial institutions in the country. The Financial Supervisory Authority (FSA), an independent public institution responsible for regulating, licensing, and supervising entities in the insurance, securities, and voluntary pension funds sectors, is at the forefront of implementing these measures.

Regulatory Bodies Involved

  • Financial Supervisory Authority (FSA): Regulates, licenses, and supervises financial institutions in Albania.
  • General Directorate for the Prevention of Money Laundering (GDPML): Responsible for making AML/CFT policy and ensuring its implementation on the ground.
  • Coordination Committee for the Fight Against Money Laundering (CCFML): Meets annually to provide strategic direction to anti-money laundering efforts in Albania.
  • Albanian State Police (ASP): Responsible for fighting crime and maintaining public order.
  • General Prosecutor’s Office (GPO): Brings criminal charges against offenders.
  • General Directorate of Customs (GDC): Works closely with law enforcement agencies to identify and report customs-related offenses to the prosecutor’s offices.

Banking Regulation

The Bank of Albania (BOA), the country’s central bank, regulates and supervises banks in Albania, ensuring compliance with AML/CFT requirements as part of its oversight functions. As a result, financial institutions operating in Albania must adhere to strict regulations aimed at preventing money laundering and terrorist financing.

Impact on Financial Sector

The introduction of these measures is expected to enhance transparency and stability in the country’s financial sector. By implementing stringent AML/CFT regulatory requirements, Albania aims to prevent the misuse of its financial system for illegal activities and maintain a safe and secure environment for both local and international transactions.