Chad’s Financial Regulations Under Scrutiny: Compliance Rating Revealed
A recent evaluation of Chad’s financial regulations has shed light on the country’s level of compliance with international standards. The assessment, conducted by the Financial Action Task Force (FATF), provides a comprehensive review of Chad’s implementation of technical requirements aimed at preventing money laundering and terrorist financing.
Compliance Rating
According to the report, Chad scored highly in several areas:
- R.1 Assessing risk and applying a risk-based approach: Chad was found to be compliant.
- R.21 Tipping-off and confidentiality: The country demonstrated good practice with a rating of compliant.
However, Chad’s financial regulations were found to be partially compliant in several areas:
- R.3 Money laundering offence
- R.10 Customer due diligence
- R.12 Politically exposed persons
- R.18 Internal controls and foreign branches and subsidiaries
Additionally, the country was rated partially compliant for:
- R.26 Regulation and supervision of financial institutions
- R.32 Cash couriers
- R.35 Sanctions
Unfortunately, Chad was found to be non-compliant in several areas:
- R.2 National cooperation and coordination
- R.5 Terrorist financing offence
- R.7 Targeted financial sanctions related to proliferation
- R.9 Financial institution secrecy laws
The country’s regulations were also found to be lacking in:
- R.11 Record keeping
- R.14 Money or value transfer services
- R.28 Regulation and supervision of DNFBPs
Areas for Improvement
The evaluation highlighted several areas that require improvement, including the need for Chad to:
- Enhance its national cooperation and coordination mechanisms
- Strengthen its regulatory framework
- Improve its record-keeping requirements
Future Efforts
The report’s findings are expected to inform Chad’s efforts to strengthen its financial regulations and prevent illicit activities. The country has committed to implementing the FATF Recommendations and will continue to work towards achieving full compliance with international standards.
By addressing these areas for improvement, Chad can enhance its reputation as a responsible player in the global financial system and better protect its citizens from financial crimes.