Financial Crime World

Jordan Struggles to Meet Global Standards in Money Laundering Detection Tools

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The Kingdom of Jordan has made progress in implementing anti-money laundering and combating the financing of terrorism (AML/CFT) measures, but still faces several challenges. According to a recent evaluation by the Financial Action Task Force (FATF), Jordan was rated as partially compliant in 14 out of 40 assessment criteria.

Weaknesses Identified

The FATF report highlighted several weaknesses in Jordan’s AML/CFT framework, including:

  • Insufficient national cooperation and coordination
  • Inadequate laws and regulations governing money laundering and terrorist financing
  • Limited resources for law enforcement agencies
  • The country’s financial intelligence unit lacks sufficient powers to effectively detect and prevent suspicious transactions

Progress Made

Despite these challenges, Jordan has made significant strides in recent years. The country has implemented a range of measures to improve its AML/CFT framework, including:

  • Strengthening customer due diligence requirements
  • Enhancing record-keeping practices
  • Increasing transparency in beneficial ownership information

Areas for Improvement

The FATF evaluation also identified several areas where Jordan needs to improve, including:

  • Implementing more effective measures to prevent the misuse of cash couriers
  • Improving the regulation and supervision of non-profit organizations
  • Enhancing international cooperation on mutual legal assistance

Government Commitment

The Jordanian government has committed to addressing these weaknesses and is working to strengthen its AML/CFT framework. The country’s financial regulators are also taking steps to improve their supervision and oversight of financial institutions.

In a statement, the Jordanian Ministry of Finance said:

“We are committed to implementing the recommendations made by the FATF and strengthening our AML/CFT framework to prevent money laundering and terrorist financing. We will continue to work closely with international partners to ensure compliance with global standards.”

Conclusion

While Jordan still faces challenges in meeting global standards for money laundering detection tools, the country has made significant progress in recent years. With a commitment from the government to address weaknesses and improve its AML/CFT framework, Jordan is well on its way to becoming fully compliant with international standards.