Egypt’s Efforts to Combat Money Laundering and Terrorist Financing: A Mixed Bag

Combating Financial Crime in Egypt: Progress and Challenges

CAIRO - The Middle East and North Africa Financial Action Task Force (MENAFATF) has recently assessed Egypt’s efforts to combat money laundering and terrorist financing. While Egypt has made significant strides, the report highlights several areas that require improvement.

Praised Efforts

• Providing timely legal assistance
• Prosecuting criminals sought for extradition

Challenges and Recommendations

Compliance with Record-Keeping Requirements

• Limited compliance due to recent issuance of instructions
• Recommendation: Improve compliance with record-keeping requirements

Supervisory Controls

• Not all supervisory authorities have issued Anti-Money Laundering/Counter-Terrorist Financing (AML/CFT) controls
• Recommendation: Enhance supervisory controls across all sectors

Risk Assessment Process

• Still evolving, with updates planned to cover more recent data
• Recommendation: Strengthen risk assessment processes

Coordination among National Entities

• Varying levels of awareness among governmental institutions and law enforcement agencies
• Recommendation: Increase coordination among national entities

Additional Recommendations

• Provide training to law enforcement agencies and other governmental institutions on AML/CFT issues
• Implement measures to combat cash-based transactions and lack of transparency in certain sectors

Conclusion

By implementing these recommendations, Egypt can further strengthen its efforts to combat money laundering and terrorist financing, ultimately protecting its financial system and reputation.