Title: Belarus Cracks Down on Financial Crimes: AML Laws, Regulators, and Institutions in Action
Belarus’ War on Financial Crimes
Belarus, a country renowned for its extensive challenges with organized crime, has made significant strides in preventing financial crimes, including money laundering and terrorist funding. The Belarusian government’s commitment to combating these illicit activities is evident in its legislative and regulatory measures.
Legislative Framework: Belarus’ AML Law
To wage the war against money laundering, Belarus passed the Law on Measures to Prevent the Laundering of Illegally Acquired Proceeds in 2005. This Anti-Money Laundering (AML) legislation laid the groundwork for Belarus’ legal and organizational framework against money laundering and terrorist funding. Highlights of this law include:
- Applies to all financial institutions in Belarus
- Requires adherence to international AML standards
- Establishes substantial penalties and imprisonment for money laundering offenses
Belarusian Institutions: Department of Financial Monitoring (DFM) and Central Bank
In 2003, Belarus established the Department of Financial Monitoring (DFM), its financial intelligence unit (FIU), to monitor, collect, and disseminate financial intelligence on behalf of the State Control Committee. The DFM investigates any suspected money laundering activity and forwards the evidence to law enforcement agencies. The DFM receives reports on financial transactions exceeding €237,000. Belarus is not presently on the Financial Action Task Force (FATF) list of countries with strategic AML shortcomings.
The Central Bank of Belarus, Belarus’ monetary authority and key monitoring agency, oversees most banking and other financial institutions’ transactions. All suspicious transaction reports must be submitted to the National Bank’s Department of Bank Monitoring.
Regulatory Bodies and Enforcement Agencies in Belarus
The following table summarizes the key regulatory bodies and enforcement agencies involved in Belarus’ AML/CFT efforts:
| Agency | Role |
|---|---|
| National Bank of the Republic of Belarus | Monetary authority, transaction monitoring |
| Ministry of Finance | Regulation and supervision |
| Ministry of Justice | Legal framework development and enforcement |
| Ministry of Communications and Informatization | Telecommunications monitoring |
| Ministry of Taxes and Duties | Tax administration and enforcement |
| Ministry of Antimonopoly Regulation and Trade | Market regulation and enforcement |
| State Property Committee | Regulation of state property |
| General Prosecutor’s Office | Prosecution of financial crimes |
| State Border Committee | Border control |
| Ministry of Internal Affairs | Law enforcement |
| State Customs Committee | Customs administration and enforcement |
| Operational and Analytical Center under the President | Intelligence and threat analysis |
| Financial Investigation Department of the State Control Committee | Financial investigations |
| State Security Committee | State security |
| Investigative Committee | Criminal investigations |
The Republic of Belarus’ Legal Framework against Money Laundering and Terrorist Funding
Belarus’ legislative and regulatory framework against money laundering, terrorist funding, and related financial crimes includes the following key laws:
- Law on Combating Terrorism (January 3, 2002)
- Law on Prosecutor’s Office (May 8, 2007)
- Law on Internal Affairs Agencies (July 17, 2007)
- Law on Financial Investigations Agencies (July 16, 2008)
- Law on Border Service Agencies (November 11, 2008)
- Law on the State Control Committee and its Local Agencies (July 1, 2010)
- Law on the Investigative Committee (July 13, 2012)
- Law on State Security Agencies (January 10, 2014)
- Law on Customs Regulation (July 1, 2010)
- Code of Administrative Offences (January 6, 2021)
Supporting Financial Institutions with Advanced AML/CFT Software
In line with international AML/CFT standards, financial institutions and other obliged entities must implement risk-based processes to manage the AML/CFT threats they face. This involves conducting customer risk assessments and establishing appropriate anti-money laundering strategies. To effectively support these efforts, AML/CFT software is essential. Key features of such solutions include:
- Customer Due Diligence
- Transaction monitoring
- PEP screening
- Adverse Media monitoring
If you require further information on these advanced features, please contact us for a demonstration.