Financial Crime World

Ghana’s Anti-Money Laundering/Cash Transaction Reporting Regime Under Scrutiny

Introduction

Accra, Ghana - The Financial Intelligence Centre (FIC) has identified several shortcomings in the anti-money laundering/cash transaction reporting regime of some Capital Market Operators and other institutions.

Key Issues Identified by FIC Report

  • Some operators failed to communicate changes in their Compliance Officers as required by law.
  • Some institutions did not submit their 2018 Anti-Money Laundering/Combating the Financing of Terrorism (AML/CFT) Employee-Education Training Programme.
  • Anti-Investment Institutions did not attach or forward updated Politically Exposed Persons (PEP) lists to their reports, despite stating that they had onboarded PEPs during the year under review.

FIC Response and Recommendations

  • The FIC advised affected institutions to submit their Audit Function Reports, PEP lists, and Employee-Education Training Programme for review and advice.
  • The Centre invited newly appointed Anti-Money Laundering Reporting Officers (AMLROs) for orientation on their key responsibilities.

Enhancing the AML/CFT Sector

The FIC has developed new guidelines in collaboration with other regulatory bodies to enhance the AML/CFT sector.

Ghana’s Performance in Anti-Money Laundering Regime

Background

In 2016, Ghana underwent a Mutual Evaluation exercise conducted by the Inter-Governmental Action Group against Money Laundering in West Africa (GIABA) under the 2013 Financial Action Task Force (FATF) methodology.

Results of Mutual Evaluation Exercise

According to the report, Ghana performed better in technical compliance than effectiveness, scoring 17 out of 40 FATF recommendations as compliant or largely compliant. However, the country received a low rating for its use of financial intelligence and moderate rating for its supervision of legal persons and arrangements.

Follow-Up Process

Ghana was subsequently placed on the Enhanced Follow-Up Process to report progress in rectifying identified deficiencies in its Mutual Evaluation report. Failure to satisfactorily address these issues may lead to a public statement by FATF and placement on an International Cooperation Review Group (ICRG) process, requiring half-yearly reporting on corrective measures.

FIC Commitment

The FIC is committed to ensuring that Ghana’s AML/CFT regime is effective and compliant with international standards to prevent money laundering and terrorist financing.