Financial Crime World

Financial Crimes on the Rise in North Macedonia, Former Yugoslav Republic

============================================================

The Financial Action Task Force (FATF) has released a report highlighting various types of financial crimes prevalent in North Macedonia, a country that was once part of the former Yugoslavia. The report assesses the country’s implementation of anti-money laundering and combating the financing of terrorism (AML/CFT) measures.

Progress and Challenges

The FATF ratings show that North Macedonia has made significant progress in implementing some technical requirements, but there are areas where it needs to improve.

Compliance Issues

  • Partial compliance with regards to confiscation and provisional measures
  • Partial compliance with regards to terrorist financing offence and targeted financial sanctions related to terrorism and terrorist financing

Non-Compliance Areas

  • Laws on financial institution secrecy
  • Customer due diligence for DNFBPs (Designated Non-Financial Businesses and Professions)
  • Transparency and beneficial ownership of legal persons and arrangements
  • Regulation and supervision of DNFBPs

Positive Developments

The report also highlights some positive developments in North Macedonia’s AML/CFT regime, including:

Risk-Based Approach

North Macedonia has implemented a risk-based approach to assessing the risk of money laundering and terrorist financing.

Financial Intelligence Unit

A financial intelligence unit has been established to collect and analyze data on suspicious transactions.

Concerns and Next Steps

Despite these efforts, there are still concerns about the prevalence of financial crimes in North Macedonia. The country is home to a number of criminal groups that engage in activities such as:

Financial Crimes

  • Fraud
  • Extortion
  • Drug trafficking

To address these concerns, the government has announced plans to strengthen its AML/CFT regime and improve cooperation with international partners. This includes:

Measures to Address Financial Crimes

  • Implementing new laws and regulations
  • Enhancing supervision and monitoring of financial institutions
  • Increasing public awareness about the risks of financial crimes

Overall, while North Macedonia has made progress in implementing AML/CFT measures, there is still much work to be done to address the complex issue of financial crimes in the country.