Financial Crime World

Angola’s Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) Measures

Risks and General Situation

Angola is exposed to significant money laundering (ML) threats from proceeds of crime both within and outside the country. The country’s sophisticated financial system coexists with a substantial informal economy, creating a complex environment that poses challenges for effective AML/CTF measures.

  • Angola faces domestic ML threats due to its large informal economy.
  • The country is vulnerable to external ML threats from proceeds of crime.

Overall Level of Compliance and Effectiveness

Angola has made progress in strengthening its AML/CFT legal framework since the first-round evaluation, but more time is needed for these improvements to be fully effective. While changes have focused on corruption-related offenses, high-risk scenarios identified in the National Risk Assessment report remain neglected.

  • Angola’s AML/CFT legal framework has improved since the first-round evaluation.
  • Further work is required to address high-risk scenarios.

Financial Intelligence, ML Investigations, Prosecutions and Confiscation

The Financial Information Unit (UIF) has autonomy and operational independence to perform its core functions, but it receives limited reports from non-bank financial institutions. Law Enforcement Agencies (LEAs) lack a thorough understanding and capacity to conduct parallel financial investigations, making it challenging to identify ML cases effectively.

  • The UIF has autonomy and operational independence.
  • LEAs have limited capacity for parallel financial investigations.

Terrorist and Proliferation Financing

Some relevant Angolan authorities demonstrate a good understanding of the TF risks facing the country, with adequate measures in place to mitigate and disrupt these threats. However, there is room for improvement in addressing TF cases more effectively.

  • Relevant authorities have a good understanding of TF risks.
  • There are opportunities for further improvement in addressing TF cases.

Recommendations

To enhance its AML/CTF measures, Angola could consider the following steps:

  • Implement a risk-based approach to identify high-risk scenarios and designate non-profit organizations (NPOs) as reporting entities.
  • Equip competent authorities with adequate capacities to identify ML and TF cases and develop relevant AML/CFT policies informed by identified risks.
  • Improve the use of conviction-based confiscation mechanisms, implement non-conviction-based confiscation, and pursue restitution of assets traced and seized in other jurisdictions.

By implementing these measures, Angola can strengthen its AML/CTF framework and better prevent money laundering and terrorist financing activities within its jurisdiction.