Financial Crime World

CAPE VERDE FAILS TO MEET FINANCIAL CRIME PREVENTION STANDARDS, REMAINS UNDER ENHANCED FOLLOW-UP PROCESS

A recent follow-up report has revealed that Cabo Verde, a member of the Financial Action Task Force (FATF) and the Inter Governmental Action Group against Money Laundering in West Africa (GIABA), has not made sufficient progress in improving its level of compliance with FATF standards since a 2019 mutual evaluation.

Technical Deficiencies in AML/CFT Measures

The report highlights technical deficiencies in Cabo Verde’s anti-money laundering and combating the financing of terrorism (AML/CFT) measures, resulting in two key recommendations being re-rated. Specifically:

  • Recommendation 7 has been downgraded from “largely compliant” to “partially compliant”
  • Recommendation 21 has been downgraded from “compliant” to “partially compliant”

Enhanced Follow-up Process

As a result, Cabo Verde will continue to be monitored under the Enhanced Follow-up process and is required to report regularly to GIABA’s Plenary on its progress in strengthening its AML/CFT measures.

Note: The Enhanced Follow-up process is a measure taken by GIABA to ensure that member countries comply with international standards for preventing financial crime.