Preventing Financial Crime in São Tomé and Principe: A Country’s Quest for Stability

Vulnerabilities and Threats

São Tomé and Principe, an island nation off the coast of West Africa, faces significant threats from financial crime. The country’s unique geography and economic challenges make it susceptible to exploitation by organized crime groups.

Non-Renewable Resource Crimes

• Illicit extraction, smuggling, mingling, bunkering or mining of natural resources
• Illicit trade in natural resources undermines the government’s efforts to stabilize the country and hampers economic growth

Synthetic Drug Trade

• Production, distribution, and sale of heroin, cocaine, and cannabis oil, resin, herb, or leaves
• These activities have far-reaching consequences, including health problems, social unrest, and organized crime

Measures to Prevent Financial Crime

Strengthening Anti-Money Laundering Regulations

• Implement robust AML/CFT regulations, including enhanced due diligence on customers and transactions
• Ensure that companies operating in the extractive industries disclose their payments to governments in a transparent manner

Enhancing Financial Intelligence Units (FIUs)

• Strengthen São Tomé and Principe’s FIU to effectively identify, analyze, and disrupt financial crimes
• Promote international cooperation through sharing intelligence, coordinating investigations, and implementing joint operations against organized crime groups

Investing in Education and Awareness

• Launch public awareness campaigns to educate citizens about the risks of financial crime and the importance of reporting suspicious activities
• Encourage collaboration between government agencies, civil society organizations, and the private sector to prevent financial crime

By taking these measures, São Tomé and Principe can reduce its vulnerability to financial crime and promote a more stable economy for its people.