Financial Crime World

Mauritius Stays Ahead in Fight Against Money Laundering and Terrorism Financing

A Robust Legislative Framework

In its efforts to combat money laundering and terrorism financing, Mauritius has established a comprehensive legislative framework that meets international standards. The island nation has enacted several laws, including:

  • The Financial Intelligence and Anti-Money Laundering Act 2002 (FIAMLA): This law provides the foundation for Mauritius’s anti-money laundering efforts.
  • The Prevention of Corruption Act 2002: This act aims to prevent corruption and promote transparency in public life.
  • The Prevention of Terrorism Act 2002: This law is designed to prevent and combat terrorism financing.

Guidelines and Regulations

In addition to its legislative framework, Mauritius has developed an AML-CFT Handbook that outlines procedures for identifying and reporting suspicious transactions. The Financial Services Commission (FSC) has also issued a comprehensive code on the prevention of money laundering and terrorist financing, which applies to all its licensees.

International Cooperation

Mauritius has strengthened its position in the global fight against money laundering and terrorism financing by:

  • Ratifying the Convention for the Suppression of the Financing of Terrorism Act 2003: This makes Mauritius a party to the international convention aimed at combating terrorism financing.
  • Signing memoranda of understanding (MOUs) with regulatory bodies: The FSC has signed MOUs with foreign supervisory institutions, law enforcement agencies, and public sector agencies to facilitate the exchange of information and consolidate supervision of cross-border operations.

Collaboration with International Organizations

Mauritius is committed to working with international organizations to enhance its AML/CFT framework. The FSC has:

  • Signed a MOU with the Financial Intelligence Unit (FIU): This agreement outlines the ways in which both institutions will cooperate in preventing money laundering and terrorist financing.
  • Voluntarily requested Financial Sector Assessment Programme (FSAP) exercises: The FSAP team recognized significant steps taken by Mauritian authorities to enhance the AML/CFT framework and praised their commitment to combating money laundering and terrorist financing.

Ongoing Efforts

Mauritius continues to review its AML/CFT regulatory framework to meet new standards set out by international organizations. The FSC constantly reviews its Risk-Based Supervision Framework to ensure compliance with AML/CFT legislation.

Mauritius is an active member of the Eastern and Southern Africa Anti-Money Laundering Group (ESAAMLG) and an associate member of FATF, demonstrating its commitment to implementing FATF recommendations regionally. The FSC also ensures proper dissemination of investor alerts and warnings from international bodies such as IOSCO and other regulatory bodies to relevant stakeholders.

Investor Confidence

As a result of Mauritius’s robust AML/CFT framework, investors can be assured that their interests are protected and the integrity of the financial sector is maintained.