Financial Crime World

Mauritania’s Fight Against Money Laundering and Terrorist Financing: Key Recommendations

Nouakchott, Mauritania - The Mauritanian government has taken significant steps to combat money laundering and terrorist financing, but more needs to be done to ensure the country’s financial system is robust against these threats.

Limitations in the Regulatory Framework

A recent report by the Financial Sector Assessment Program (FSAP) highlighted several limitations in the country’s regulatory framework. One major concern is the lack of legal protection for the oversight authority and its staff, leaving them vulnerable to retaliation or intimidation.

Recommendations for Strengthening the Operational Capacities

To address these concerns, the report recommends:

  • Strengthening the operational capacities of the Bank of Mauritania (BCM):
    • Continuing the ambitious selection and training program for staff
  • Judges, police, and customs officials require specialized training: to effectively tackle financial crime cases

Establishing a Core Preventive Mechanism

The National Financial Information Commission (CANIF) should be established as soon as possible to serve as the core preventive mechanism against money laundering and terrorist financing. CANIF will need to:

  • Develop a broad awareness-raising and training program: for designated non-financial businesses and professions (DNFBPs), including lawyers, notaries, accountants, and others
  • Outline practical measures: for implementing due diligence in knowing customers and detecting suspicious transactions

Due Diligence Obligations for DNFBPs

The report highlights the importance of DNFBPs exercising due diligence in knowing their customers and detecting suspicious transactions. However, it notes that Law No. 2005-048 does not provide practical modalities for implementing this obligation.

Recommendations for Professional Associations

Professional associations regulating professions such as accountants, lawyers, and notaries should take concrete steps to prevent money laundering and terrorist financing.

The government should establish legal persons, legal arrangements, and non-profit organizations subject to anti-money laundering and combating the financing of terrorism (AML/CFT) regulations.

Conclusion

The Mauritanian authorities have acknowledged these recommendations and are working to address them. With continued efforts, the country can strengthen its financial system and better combat money laundering and terrorist financing.