Japan Ensures Tightened Laws Against Terrorist Financing

Combating Terrorism through Regulation

Tokyo - Japan has taken significant steps to combat terrorist financing by establishing a comprehensive domestic regulatory and oversight regime. According to officials, the country’s efforts are aimed at preventing the misuse of its financial system for illicit purposes.

Key Measures to Combat Terrorist Financing

• Financial institutions must take necessary customer due diligence measures, including customer and beneficial owner identification.
• Institutions must maintain information obtained by these measures and transaction records.
• Suspicious transactions must be reported to the Financial Intelligence Unit (FIU).
• The National Public Safety Commission is responsible for collecting, arranging, analyzing, and disseminating information on suspicious transactions.

International Cooperation

Japan has been a founding member of the Financial Action Task Force (FATF) since 1989 and actively contributes to its work. The country is also a member of the Asia/Pacific Group on Money Laundering (APG) and the Egmont Group.

Obligations for Individuals Departing or Entering Japan

Individuals departing or entering Japan are required to declare cash, checks, promissory notes, and securities exceeding one million yen or their equivalent to the Minister of Finance (Customs).

Challenges and Improvements Required

Despite these measures, officials acknowledged that there are still challenges to be addressed. These include financial and technical capacity challenges in terms of cooperation and information exchange at the national and international levels, as well as coordination among relevant agencies responsible for combating money laundering.

Seeking Technical Assistance

To address these challenges, Japan is seeking technical assistance from international organizations and other countries.

Latest Developments

In recent years, Japan has strengthened its laws against terrorist financing by introducing new regulations on anti-money laundering and counter-terrorism financing. The country has also increased cooperation with other nations to share information and best practices in combating money laundering and terrorist financing.

Conclusion

Japan’s commitment to combatting terrorist financing is evident in its comprehensive domestic regulatory and oversight regime. While challenges remain, the country is actively seeking technical assistance to improve its laws and practices against terrorist financing.