Title: Kyrgyzstan’s Anti-Money Laundering Laws: Strengthening Financial Security and Combating Crime
Bishkek, August 1, 2023
The Law of the Kyrgyz Republic on Anti-Money Laundering and Anti-Terrorist Financing has gone through amendments on June 2, 2009, and July 25, 2012. This law serves as a cornerstone in safeguarding the rights and interests of Kyrgyz citizens, society, and the state from criminal threats. The following points discuss the essential aspects of this legislation.
Key Provisions
Objectives and Scope
This law targets the prevention, detection, and deterrence of money laundering and terrorist financing activities within the Kyrgyz Republic. It applies to:
- Citizens
- Foreign nationals
- Permanent residents
- Organizations involved in cash or property transactions
- State bodies controlling such transactions
When international agreements set different rules, they take precedence.
Definitions
Key terms are defined to ensure effective implementation:
- Proceeds of crime and legalization of proceeds from crime
- Cash assets and property
- Suspicious transactions
- Authorized state body
- International organizations, such as FATF
Measures and Responsibilities
Banks and financial institutions must establish internal control systems to prevent money laundering and terrorist financing activities. Measures include:
- Client identification and verification
- Ongoing monitoring of clients and transactions
- Restrictions on correspondent relationships with offshore and shell banks
Reporting Obligations
Reporting persons, including banks and financial institutions, collect and submit information on transactions subject to mandatory control to the authorized state body. Suspicious transactions are reported within one working day, and the list of suspicious transaction criteria is established by the authorized state body.
International Cooperation
The Kyrgyz Republic collaborates with international organizations, such as FATF, to establish and enforce global anti-money laundering and anti-terrorist financing standards.
[Chapter V, coming soon, covers final provisions and amendment procedures.]