Financial Crime World

Mauritania’s Efforts to Prevent Terrorist Financing through Non-Profit Organizations

Introduction

Mauritania, a country in West Africa, has been working diligently to prevent terrorist financing through non-profit organizations (NPOs). In this article, we will discuss the efforts made by Mauritania to address the risks associated with NPOs and the shortcomings that need to be addressed.

Efforts Made by Mauritania

Number of NPOs at Risk

There are approximately 100 active NPOs in Mauritania that are considered to be at risk of being exploited for terrorist financing.

Types of NPOs at Risk

These NPOs are mainly engaged in collecting or distributing funds for charitable, religious, educational, cultural, social, or other good deeds.

Lack of Threats from Terrorist Entities

According to the National Risk Assessment, there are almost no threats posed by terrorist entities to NPOs in Mauritania.

Review of Procedures and Laws

Mauritania has reviewed its procedures and laws related to NPOs, leading to amendments in the Anti-Money Laundering and Terrorist Financing Law (No. 017-2019) and the Implementing Decree thereof (Decree 197-2019).

Key Initiatives

Independent Section for NPOs

Each of these amended texts includes an independent section addressing the shortcomings revealed during the review.

Mechanism for Periodic Re-Assessment

The National Risk Report emphasizes the need to set up a mechanism for periodically reassessing risks every three years, including the NPO sector.

Supervision and Awareness Programs

A protocol has been signed between the Financial Intelligence Unit (FIU) and NPO supervisory authorities to promote outreach and awareness programs about potential vulnerabilities in NPOs that can be misused for terrorist financing.

Best Practices Development

Work is underway with NPOs to develop best practices to prevent TF risks and vulnerabilities, protecting them from being misused in financing terrorism.

Sanctions for Non-Compliance

Article 44 of the Law provides for effective, proportionate, and dissuasive sanctions for non-compliance.

Shortcomings that Need to be Addressed

  1. Lack of Information on Terrorist Abuse of NPOs

    • There is no information available on how terrorist actors have abused NPOs (Criterion 8.1b).

  2. Evidence of Outreach Programs

    • No evidence exists to prove the execution of outreach programs to raise and maintain awareness among NPOs (Criterion 8.2b).

  3. Best Practices Development and Refinement

    • There is no evidence that Mauritania has worked with NPOs to develop and refine best practices to address TF risks (Criterion 8.2c).

  4. Enhanced RBA Supervision over NPOs

    • No evidence exists that Mauritania has taken steps to enhance RBA supervision over NPOs (Criterion 8.3).

  5. Immediate Exchange of Information with Competent Authorities

    • There is no mechanism in place to ensure the immediate exchange of relevant information with competent authorities (Criterion 8.5a).