Cabo Verde Fails to Improve Financial Crime Prevention Standards

Remains Under Enhanced Follow-up Process

Despite efforts to strengthen its anti-money laundering and combating the financing of terrorism (AML/CFT) measures, Cabo Verde has failed to make sufficient progress in addressing technical compliance deficiencies since its 2019 mutual evaluation. As a result, the country will continue to be monitored under the Enhanced Follow-up process.

GIABA Report Reveals Lack of Progress

According to a recent report by the Inter Governmental Action Group against Money Laundering in West Africa (GIABA), Cabo Verde has been re-rated on two key recommendations:

• Recommendation 7: Prevention of Money Laundering and Terrorist Financing
  • Downgraded from “largely compliant” to “partially compliant”
• Recommendation 21: Confiscation of Proceeds from Crime
  • Downgraded from “compliant” to “largely non-compliant”

Consequences of Lack of Progress

The lack of progress in addressing these deficiencies means that Cabo Verde will remain under close scrutiny by GIABA and international financial authorities. The country’s authorities have been tasked with implementing measures to strengthen its AML/CFT framework and reporting back on progress to the GIABA Plenary.

This ongoing monitoring highlights the importance of continuous improvement in combating financial crime and ensuring the integrity of the global financial system. Cabo Verde must take immediate action to address these technical compliance deficiencies to regain confidence from international partners and stakeholders.