Financial Crime World

Jordan’s Fight Against Money Laundering and Terrorist Financing: A Call to Action

In a comprehensive report, the international community has highlighted Jordan’s efforts to combat money laundering and terrorist financing. While progress has been made, there is still much work to be done.

Key Findings

The report reveals that while Jordan has implemented several measures to prevent money laundering and terrorist financing, there are still significant weaknesses in its legal framework, supervisory practices, and international cooperation.

To address these weaknesses, the report recommends a range of actions, including:

  • Strengthening laws and regulations: Prevent money laundering and terrorist financing by strengthening Jordan’s legal framework.
  • Improving supervision and monitoring: Enhance supervision and monitoring of financial institutions to prevent criminal activity.
  • Enhancing international cooperation: Share information and best practices with other countries to combat money laundering and terrorist financing.
  • Implementing risk-based approaches: Identify and mitigate risks associated with money laundering and terrorist financing.
  • Increasing transparency and beneficial ownership: Ensure that legal persons’ ownership structures are transparent and beneficial ownership is disclosed.

Immediate Outcomes

The report highlights several immediate outcomes, including:

  • Licensing, registration, and controls: Implement licensing, registration, and controls to prevent criminals and associates from entering the market.
  • Supervisors’ understanding of risks: Ensure supervisors understand and identify money laundering and terrorist financing risks.
  • Risk-based supervision: Supervise financial institutions based on their risk profiles.
  • Effective sanctions: Impose effective sanctions to deter criminal activity.

International Cooperation

The report stresses the importance of international cooperation in combating money laundering and terrorist financing. Jordan is urged to:

  • Provide timely mutual legal assistance: Provide constructive and timely mutual legal assistance to other countries.
  • Seek legal assistance for transnational cases: Seek timely legal assistance to pursue domestic cases with transnational elements.
  • Engage in information sharing: Engage in other forms of international cooperation, including information sharing.

Supervisors’ Role

Supervisors are called upon to play a key role in implementing these recommendations. They must ensure that financial institutions are subject to effective supervision and monitoring.

Technical Compliance Annex

The report includes a technical compliance annex outlining specific recommendations for Jordan, including:

  • Risk assessment and risk-based approach: Assess risks and apply a risk-based approach.
  • National cooperation and coordination: Strengthen national cooperation and coordination among supervisory authorities.
  • Strengthening money laundering offense laws: Strengthen money laundering offense laws and confiscation laws.
  • Targeted financial sanctions: Implement targeted financial sanctions related to terrorism and terrorist financing.

These recommendations are crucial in helping Jordan strengthen its fight against money laundering and terrorist financing. The international community is urging the country to take swift action to address these weaknesses and ensure a safer, more secure financial system for all.