National Risk Assessment (NRA) Review Process in Ghana
The National Risk Assessment (NRA) review process in Ghana was a comprehensive exercise aimed at identifying, assessing, and mitigating money laundering/terrorist financing (ML/TF) risks. The objectives of the NRA were to determine the new level of vulnerability after including new threats, actions taken, and measures put in place to address economic and financial sectors’ ML/TF risks.
Objectives of the NRA Review Process
- Determine the new level of vulnerability after including new threats
- Assess the effectiveness of actions taken to address ML/TF risks
- Identify measures put in place to mitigate ML/TF risks
Methodology Used
The NRA process involved eight working groups, each using the World Bank’s Risk Assessment tool. The methodology included:
- Data collection and analysis
- Drafting of reports and recommendations
- Identification of vulnerable sectors and areas with varying levels of capacity to detect and prevent ML/TF activities
Challenges Encountered
Despite the comprehensive approach, several challenges were encountered during the NRA review process, including:
- Limited access to data: Some respondents did not provide information or had no statistical unit.
- Institutional cooperation: A number of institutions did not provide the required information, and it was difficult getting them to supply the remaining data within the stipulated time.
- Data validation: Some data/information provided needed to be validated to ensure accuracy and integrity.
- Lack of clear understanding: There was a lack of clear understanding of issues the questionnaires sought to receive from some sampled respondents.
Vulnerable Sectors Identified
The NRA review process identified various sectors as vulnerable to ML/TF risks, including:
- Extractive industry
- Petroleum industry
- Cocoa industry
- Hotel industry
Threat Analysis
The threat analysis concluded that crimes such as fraud, stealing, robbery, drug trafficking, corruption, and tax evasion are rampant in Ghana, with a medium-high overall threat rating.
Supporting the Government’s Fight Against Money Laundering
The assessment of national vulnerability focused on 24 areas with varying levels of capacity to detect and prevent ML/TF activities. The review process aimed to support the Government of Ghana’s fight against money laundering, illicit financial flows, and transnational organized crimes.