Illicit Financial Flows and Asset Recovery: A Global Challenge for Armenia

Global Context

The Significance of Illicit Financial Flows (IFFs)

• IFFs pose significant challenges to countries around the world.
• The estimated annual amount of global laundered proceeds is greater than the entire GDP of several countries combined.
• The 2030 Agenda for Sustainable Development and the Sustainable Development Goals call on countries to significantly reduce IFFs.

International Regulations and Recommendations

• A broad set of international conventions, standards, and bodies have been developed to combat IFFs, including UN conventions and FATF recommendations.
• Mechanisms for accelerated conviction and non-conviction-based forfeiture are valuable tools in recovering illicitly-obtained assets.

Armenia’s Context

Overview

• Armenia is a landlocked country located in the South Caucasus region of Eurasia, with a population of over 2.9 million people.
• The country has undergone significant socio-economic changes since its independence from the Soviet Union in 1991.
• Armenia joined the Eurasian Customs Union and the Eurasian Economic Union in 2014 and 2015, respectively.

Challenges

• Armenia’s economy has faced challenges related to corruption, money laundering, and organized crime.
• The country needs to strengthen its institutions and mechanisms for addressing IFFs and asset recovery.
• International cooperation and support are crucial in helping Armenia address these challenges.

Conclusion

Overall, the importance of addressing illicit financial flows and asset recovery in a global context is highlighted, with specific attention to Armenia’s situation.