Financial Crime World

Belgium’s Frontline Fight Against Financial Crimes: Corruption, Money Laundering, and Terrorist Financing

Belgium, a small EU member state with over 11 million people, is dedicated to transparency, accountability, and integrity in the global fight against financial crimes. The country’s relentless pursuit of these goals is crucial for its economic health and the integrity of its financial system.

Addressing Corruption

Belgium is committed to overcoming corruption, an obstacle to economic development and a primary source of resources for organized crime and terrorism financing. The nation is a signatory to various international conventions and is governed by the Penal Code. The Penal Code consists of Articles 246 and subsequent regarding public corruption and Articles 504bis and subsequent focusing on private corruption.

Some priorities for Belgium in addressing corruption include:

  • Transparency and accountability: Belgium launched Europe’s first-ever rule of law assessment mechanism in 2019 to evaluate its progress on four main pillars: the justice system, anti-corruption framework, media pluralism, and other checks and balances.
  • The justice system: By addressing corruption, Belgium aims to enhance the negative impacts of business activities on human rights, the environment, and corruption.
  • International conventions: Belgium is dedicated to upholding and enforcing international norms through its commitment to several anti-corruption conventions.

Fighting Money Laundering

Countering money laundering, an activity that conceals proceeds from illicit activities, is another priority for Belgium. Its leading institution in this effort is the Financiële Intelligence Dienst (FIOD), or Financial Intelligence Processing Unit (CTIF). The CTIF is responsible for detecting, analyzing, and reporting suspicious financial transactions potentially linked to money laundering, terrorist financing, or proliferation.

The Belgian government’s dual approach to fighting money laundering consists of:

  • Preventive measures: Requiring regulated bodies and individuals to adhere to strict reporting requirements for suspicious transactions.
  • Enforcement measures: Criminal activity related to money laundering is punishable under Article 505 of the Penal Code.

Tackling Terrorist Financing

Belgium contributes to international efforts against terrorist financing and its proliferation through the Financial Action Task Force (FATF), an organization dedicated to monitoring money laundering, terrorist financing, and other related threats. The country’s ongoing process of full compliance with FATF’s 40 recommendations reflects its commitment to enhancing its financial crime prevention capabilities.