Financial Crime World

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Mongolia’s Anti-Money Laundering and Combating the Financing of Terrorism Efforts Show Significant Progress

Ulaanbaatar, Mongolia - Mongolia has made significant progress in addressing technical compliance deficiencies identified in its previous report, according to a new assessment by [media outlet].

AML/CFT Efforts Rated Largely Compliant

Mongolia’s anti-money laundering (AML) and combating the financing of terrorism (CFT) efforts have been rated largely compliant with international standards, with only minor deficiencies remaining.

Key Developments

  • The country’s AML/CFT law requires all reporting entities, including virtual asset service providers (VASPs), to conduct customer due diligence (CDD) for transactions above a designated threshold of MNT 20 million (approximately USD 7,020).
  • Mongolia has introduced a registration regime for VASPs, which includes fit and proper requirements for applicants.
  • The country is conducting another VASP risk assessment following the introduction of the registration regime.

Gaps Remain

While there are still some gaps in Mongolia’s AML/CFT framework, including: + The need for further clarity on risk-based supervision of VASPs + Dissuasive monetary penalties for non-compliance the country has made significant progress in addressing technical compliance deficiencies identified in its previous report.

Regulating and Monitoring VA and VASPs

Mongolia’s efforts to regulate and monitor VA and VASPs have enabled the authorities to mitigate ML/TF risks associated with these emerging sectors. The country is conducting public awareness campaigns to educate citizens about the risks and benefits of VA and the importance of AML/CFT measures.

Conclusion

In conclusion, Mongolia has made significant progress in addressing technical compliance deficiencies identified since its previous report, and only minor deficiencies remain. The country’s AML/CFT efforts have been rated largely compliant with international standards, and it is expected to continue to improve its framework over time.