Botswana Takes a Major Step Forward in Combating Financial Crime
Gaborone, Botswana - In a significant development in the fight against financial crime, Botswana has completed a National Anti-Money Laundering (AML) and Counter Financing of Terrorism (CFT) Risk Assessment.
A Major Milestone for Botswana
The completion of this assessment marks a major milestone for Botswana, which is the eleventh country in Africa to undertake such an exercise. The Financial Action Task Force (FATF) requires all countries to conduct a National AML/CFT Risk Assessment as part of its international obligations to combat money laundering and terrorist financing.
Collaborative Efforts
The World Bank’s National AML/CFT Risk Assessment Tool played a crucial role in facilitating the assessment process, which involved over 50 officials from various government ministries and agencies. The tool helped to identify and prioritize the main risks that Botswana faces in terms of money laundering and terrorist financing.
Identified Risks and Threats
According to the report, the identified risks include:
- Higher levels of criminality linked to wildlife poaching
- Weak controls in the diamond sector
- Auto theft
- Financial crimes such as tax evasion and corruption
- Weaknesses in national AML/CFT control systems, including legal frameworks and implementation effectiveness.
Commitment to Compliance
The completion of this assessment demonstrates Botswana’s commitment to complying with international obligations and implementing effective measures to combat financial crime. The identified risks and threats will assist officials in strengthening country systems and applying appropriate control measures to prevent money laundering, terrorist financing, and related underlying criminal activities.
Quote from Elaina Gonsalves
In a statement, Elaina Gonsalves, Deputy Secretary for Economic and Finance Policy in the Ministry of Finance and Economic Development, expressed gratitude to the World Bank for its assistance throughout the assessment process. She emphasized the importance of strengthening Botswana’s legal framework, which is the first line of defense against money laundering and terrorist financing.
A Significant Step Forward
The successful completion of this National AML/CFT Risk Assessment is a significant step forward in Botswana’s efforts to combat financial crime and strengthen its economy. It demonstrates the country’s commitment to transparency, accountability, and good governance, and will contribute to reducing poverty and promoting shared prosperity.