Fraudulent Transactions Detection in Burkina Faso: A Follow-Up Report

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The Financial Action Task Force (FATF) has released a follow-up report on Burkina Faso’s efforts to combat fraudulent transactions. The report assesses the country’s implementation of technical requirements to prevent money laundering and terrorist financing.

Progress Made

Burkina Faso has made some progress in implementing FATF recommendations. Specifically, it has demonstrated compliance with regards to:

• Assessing risk and applying a risk-based approach (R.1)
• Having national cooperation and coordination mechanisms in place (R.2)

Areas for Improvement

However, the country still needs to improve its implementation of certain requirements. Notably, Burkina Faso was found to be partially compliant with regards to:

• Confiscation and provisional measures (R.4)
• Targeted financial sanctions related to terrorism and terrorist financing (R.6)

Additionally, the country has room for improvement in implementing laws on:

• Financial institution secrecy (R.9)
• Customer due diligence (R.10)
• Record keeping (R.11)
• Internal controls (R.18)

Recommendations

The report highlights several areas where Burkina Faso needs to enhance its efforts, including:

• Improving regulation and supervision of financial institutions (R.26) and DNFBPs (R.28)
• Strengthening the powers of supervisors (R.27)
• Improving transparency and beneficial ownership requirements for legal persons and arrangements (R.24-25)

Conclusion

The FATF report provides a comprehensive assessment of Burkina Faso’s efforts to combat fraudulent transactions, highlighting both progress made and areas that require improvement. It is essential that the country addresses these weaknesses to effectively prevent money laundering and terrorist financing.