Financial Crime World

Terrorism Financing and Financial Crime on the Rise in Cape Verde

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Cape Verde has been found to have significant shortcomings in its efforts to combat terrorism financing and financial crime, according to a recent report. The country’s technical compliance with international standards for anti-money laundering (AML) and combating the financing of terrorism (CFT) is still incomplete.

Areas for Improvement

  • Lack of adequate laws and regulations to prevent terrorist financing
  • Insufficient monitoring of non-profit organizations
  • Financial intelligence unit lacks necessary resources and powers to effectively investigate and prosecute financial crimes

Some Progress Made

  • Improving national cooperation and coordination efforts
  • Strengthening targeted financial sanctions related to terrorism and terrorist financing

However, these efforts are not enough to address the significant risks posed by money laundering and terrorist financing in the country.

International Concerns

The report’s findings have raised concerns among international authorities, who have called on Cape Verde to take immediate action to address the identified shortcomings. Failure to do so could result in further restrictions on the country’s financial system and potential sanctions.

Government Response

Cape Verde’s government has pledged to work closely with international partners to strengthen its AML/CFT framework and prevent terrorism financing and financial crime. However, much more needs to be done to bring the country into compliance with international standards.

The financial sector in Cape Verde has been criticized for lacking transparency and accountability, with many experts warning of a high risk of money laundering and terrorist financing through the country’s banking system.