Financial Crime World

Guinea’s AML/CFT Regulations Under Scrutiny: Country Faces Compliance Challenges

The Financial Action Task Force (FATF) has recently conducted a mutual evaluation of Guinea’s anti-money laundering and combating the financing of terrorism (AML/CFT) regulations, revealing several areas that require improvement.

Partial Compliance with FATF Recommendations

Guinea was found to be partially compliant with most FATF recommendations. The country needs to address several deficiencies in its AML/CFT regime, including:

  • Risk Assessment and Risk-Based Approach (R.1): Guinea’s risk assessment is inadequate, and it does not apply a risk-based approach effectively.
  • National Cooperation and Coordination Mechanisms (R.2): The country’s national cooperation and coordination mechanisms are insufficient, leading to ineffective implementation of AML/CFT measures.
  • Laws and Regulations regarding Money Laundering Offenses (R.3) and Confiscation and Provisional Measures (R.4): Guinea needs to strengthen its laws and regulations regarding money laundering offenses and confiscation and provisional measures.

Non-Compliance with FATF Recommendations

Guinea was found to be non-compliant in several areas, including:

  • Regulations on Targeted Financial Sanctions related to Proliferation (R.7): Guinea’s regulations on targeted financial sanctions related to proliferation do not meet the FATF requirements.
  • Financial Institution Secrecy Laws (R.9) and Customer Due Diligence (R.10): Guinea’s financial institution secrecy laws and customer due diligence measures are inadequate.
  • Internal Controls and Foreign Branches and Subsidiaries (R.18): Guinea’s internal controls and foreign branches and subsidiaries do not meet the FATF requirements.

Recommendations to Guinea

The FATF report made several recommendations to Guinea, including:

  • Strengthening its regulatory framework
  • Improving its supervisory authorities
  • Enhancing international cooperation

Response from Guinea’s Authorities

In response to the findings, Guinea’s authorities have pledged to take steps to address the identified deficiencies and improve its AML/CFT regime. The country has been given a deadline to implement the necessary reforms and will be subject to further evaluations in the future.

Overall, Guinea faces significant challenges in improving its AML/CFT regulations and must take swift action to address the identified deficiencies in order to meet international standards.