Aruba Tightens Anti-Terrorism Financing Regulations

In an effort to combat money laundering and terrorism financing, Aruba has strengthened its anti-terrorism financing regulations. The Financial Intelligence Unit of Aruba (FSA Aruba) is responsible for overseeing these regulations, which are based on the 40 Recommendations of the Financial Action Task Force (FATF).

Compliance Requirements

To comply with these regulations, financial or designated non-financial service providers must adhere to specific requirements outlined in the State Ordinance for the Prevention and Combating of Money Laundering and Terrorist Financing. This includes:

• Conducting customer due diligence (CDD) or enhanced CDD when dealing with high-risk transactions
• Reporting unusual transactions to the FSA Aruba as soon as they become aware of them

Report Requirements

Reports must include specific information, such as:

• Type and number of the client’s identity document
• Type, timing, and location of the transaction
• Sum, place of origin, and source of funds used in the transaction
• Circumstances that suggest the transaction is unusual

FATF Classification

Aruba has been identified by FATF as having strategic anti-money laundering (AML) deficiencies. The country is working to address these issues and improve its AML/CFT regime.

FSA Aruba’s Role

The FSA Aruba plays a crucial role in identifying and preventing money laundering and terrorism financing activities. By strengthening its regulations, Aruba aims to protect its financial system from these threats and maintain its reputation as a stable and secure financial hub.

FATF List

In related news, Aruba is currently on FATF’s List of Countries that have been identified as having strategic AML deficiencies. The country has committed to addressing these issues and improving its AML/CFT regime in the coming years.