Financial Crime World

Dominican Republic Takes Strides Against Money Laundering

SANTO DOMINGO, Dominican Republic - The Dominican Republic has made significant strides in combating money laundering and terrorist financing by strengthening its anti-money laundering (AML) framework. This commitment to international cooperation and transparency has earned the country recognition as a key player in global efforts to prevent illicit financial activities.

International Cooperation and Recognition

The Dominican Republic has ratified several international conventions aimed at preventing money laundering, including:

  • Inter-American Convention Against Corruption: A multilateral treaty that aims to prevent corruption through cooperation among countries.
  • United Nations Convention Against Transnational Organized Crime: An international agreement that focuses on preventing organized crime and money laundering.

New Anti-Money Laundering Law

In 2017, the Dominican Republic implemented a new anti-money laundering law, which replaced the outdated Act 72-02 of 2002. The New Law provides a more robust and modern legal structure for combating money laundering and terrorist financing. Its primary objectives include:

  • Enhanced regulation: A more comprehensive regulatory framework to prevent money laundering.
  • Transparency: Economic agents must disclose information about their activities and beneficial owners.
  • International collaboration: Facilitating cooperation with international organizations and foreign financing.

AML Regulators

The Dominican Republic’s AML regulators include:

  • Financial Analysis Unit (UAF): The primary regulator for receiving, analyzing, and disclosing reports of suspected financial activities.
  • National Anti-Money Laundering Committee: Coordinates policies to prevent money laundering and advises the Executive Power on legal actions required to improve AML procedures.
  • Central Bank of the Dominican Republic
  • Superintendence of Banks
  • National Drug Council
  • Secretariat of Finance

Conclusion

The Dominican Republic’s commitment to combating money laundering and terrorist financing is evident through its adoption of international conventions and the enactment of the New Anti-Money Laundering Law. These efforts align the country with global AML standards, bolster transparency, and promote collaboration with international organizations.

For investors, businesses, and individuals considering involvement in the Dominican Republic, these AML regulations provide a level of assurance and security. By staying updated with these regulations and cooperating with relevant authorities, stakeholders can contribute to a safer and more secure financial environment in the Dominican Republic.