Financial Crime World

Mauritania’s Anti-Money Laundering and Terrorist Financing Efforts Assessed by World Bank

A detailed assessment report on Mauritania’s measures to combat money laundering and terrorist financing was prepared by the World Bank and recently adopted as a Mutual Evaluation Report by the Middle East and North Africa Financial Action Task Force (MENAFATF).

Mission Findings

  • The assessment mission took place from May 14 to 21, 2005, and was significantly influenced by the political instability caused by the coup d’état that took place shortly afterward.
  • Despite the challenges, the report reflects the progress Mauritania has made since then.
  • The mission team consisted of financial expert Pierre-Laurent Chatain, legal expert Isabelle Schoonwater, Marilyne Goncalves, and Robert Nicolau.

Mauritania’s Background

  • Mauritania is a large African country with significant mineral resources.
  • The country has undergone considerable political and institutional changes since the assessment mission.

Progress and Challenges

Strengths

  • Mauritania has strengthened its legal and regulatory framework.
  • The country has adopted the Anti-Money Laundering Law No. 2005-048 and the Law No. 2005-047 on combating terrorism.
  • Mauritania has ratified several international conventions on combating illicit trafficking and the financing of terrorism.
  • An interministerial commission has been set up to draft and coordinate the implementation of anti-money laundering and combating terrorist financing measures.
  • The Directorate of Economic and Financial Police has been created within the Ministry of the Interior to combat financial crimes.

Areas for Improvement

  • Due diligence: Improvements needed in the area of customer due diligence for designated non-financial businesses and professions (DNFBPs).
  • Suspicious Transaction Reports (STRs): The report highlights the need for more effective use and timely filing of STRs.
  • Record-keeping: The report identifies the need for better record-keeping by DNFBPs.

Setting Up the National Financial Information Commission (CANIF)

  • CANIF is being set up to be the core of the preventive mechanism for the future.
  • CANIF will outline practical measures related to record-keeping for DNFBPs.

Challenges and Future Plans

  • One challenge Mauritania faces is the limited capacities of its oversight authorities.
  • The country plans to continue its efforts to strengthen the oversight capacity and awareness-raising programs for all relevant sectors.

Conclusion

  • Mauritania has made significant progress in strengthening its anti-money laundering and combating terrorist financing regime, particularly in the areas of legal and regulatory framework, institutional setup, and international cooperation.
  • The report identifies areas for improvement, such as due diligence, suspicious transaction reports, and record-keeping for DNFBPs.
  • The implementation of the new law and the establishment of CANIF represent important steps in addressing these challenges.