Financial Crime World

Egyptian Finance System Undergoes Scrutiny in FATF Assessment: Key Findings and Priorities

Amidst global efforts to strengthen the fight against financial crimes, the Middle East & North Africa Financial Action Task Force (MENAFATF) conducted an intensive assessment of Egypt’s measures to counteract money laundering and terrorist financing. This comprehensive review aimed to evaluate the effectiveness of Egypt’s financial regulatory framework and its adherence to the FATF Recommendations.

Assessment Process

  • The on-site part of the evaluation took place from 1 to 9 March 2020 and 16 September to 7 October 2020.
  • The assessment was conducted remotely due to unforeseen circumstances.
  • The FATF, an international organization that sets standards for combating money laundering and terrorist financing, has now endorsed the findings of this assessment.

Key Findings and Priority Actions

The Executive Summary of the MENAFATF report reveals the following Key Findings and Priority Actions that emerged from the assessment:

Key Findings

  • Effective legal framework for countering financial crimes is in place. However, it requires enhancement by introducing key domestic measures.
  • Egypt has established structures to manage and coordinate its financial crime prevention efforts. Still, it needs to further develop its risk assessment capacity, particularly regarding the assessment of ML/TF (money laundering/terrorist financing) risks.

Priority Actions

  • Enhance the existing legal framework by introducing key domestic measures to prevent and counter ML/TF.
  • Effectively implement the FATF Recommendations on international cooperation and mutual legal assistance.
  • Strengthen financial intelligence unit capability and information sharing between relevant authorities.

To read a more thorough understanding of Egypt’s performance in the assessment and the recommendations made by the FATF, be sure to read the full Executive Summary. Stay tuned for exclusive coverage of Egypt’s latest financial crime prevention initiatives and updates on the country’s progress in addressing areas identified for improvement by the FATF.