Financial Crime World

Eritrea: A Hotbed of Organized Crime and Authoritarian Governance

Resilience in the Face of Authoritarianism

Eritrea is a country with a complex and challenging situation. The report highlights several key points that paint a picture of an authoritarian state controlled by President Isaias Afwerki.

  • Authoritarian Rule: Eritrea has been governed by President Isaias Afwerki since its independence in 1993, with no elections held during this period.
  • Total Government Control: The government exerts total control over the economy, and there is a lack of reliable data on crime dynamics or the economy.
  • Disregard for Reform: Despite growing calls for reform, the government has remained dismissive of any attempts to introduce democratic institutions.

Criminal Justice and Security: A System in Crisis

The report reveals several critical issues with Eritrea’s criminal justice system:

  • Lack of Independent Institutions: There is no independent judiciary, national assembly, or other democratic institutions.
  • Prison Conditions: Prison conditions are harsh, with severe overcrowding being a significant issue.
  • Corruption and Bribery: Corruption and bribery are rampant, with no independent police oversight body or specialized law-enforcement unit.

Economic and Financial Environment: Vulnerabilities to Money Laundering

Eritrea’s economy is at high risk of money laundering due to its cash-based, largely informal economy:

  • Limited Convertibility: The state currency is not fully convertible, which creates vulnerabilities to illicit financial services.
  • State-Controlled Banks: Banks in the country are under state control and lack transparency.

Civil Society and Social Protection: A Neglect of Human Rights

The report highlights several concerns with regards to Eritrea’s treatment of its citizens:

  • Lack of Support for Victims: There is no evidence of government efforts to identify, protect or support victims of trafficking.
  • Restrictions on Non-Governmental Organizations: Non-governmental organizations are not permitted to operate in Eritrea, and independent media outlets were closed down in 2001.
  • Restrictions on Foreign Human Rights Organizations: Foreign human rights organizations are also not permitted to function within the country.

Conclusion

The report paints a dire picture of Eritrea’s situation with regards to organized crime, governance, and human rights. The government’s authoritarian control, lack of transparency, and disregard for reform have created an environment conducive to organized crime and money laundering. The neglect of victims of trafficking and restrictions on civil society are also major concerns that must be addressed.