Mozambique Enhances Framework for Countering Terrorism and Proliferation of Weapons of Mass Destruction
The Banco de Moçambique has taken a significant step to strengthen its framework for countering terrorism and proliferation of weapons of mass destruction by introducing new measures aimed at preventing the misuse of financial systems for illegal activities.
New Measures to Prevent Misuse of Financial Systems
According to a notice issued by the central bank, all financial and non-financial institutions in Mozambique are required to:
- Freeze economic assets and resources of individuals and groups designated by the United Nations Sanctions Committee (terrorism and its financing) within 24 hours upon notification
- Report any suspicious transactions to the Graphics Information Office (GIFiM)
These measures are aimed at implementing the recommendations of the Financial Action Task Force (FATF), which has identified Mozambique as a country with high risk of money laundering, terrorism financing and proliferation of weapons of mass destruction.
“We are committed to ensuring that our financial system is not used to finance illegal activities,” said a spokesperson for the Banco de Moçambique. “These new measures will help us to prevent the misuse of our financial systems and protect our economy from the risks associated with money laundering, terrorism financing and proliferation of weapons of mass destruction.”
Sectoral Risk Assessment
The central bank has also conducted a sectoral risk assessment of money laundering, terrorism financing and proliferation of weapons of mass destruction, which identified several areas that require attention. The assessment was carried out in accordance with Article 58 of Law No. 14/2023, which establishes the legal regime for preventing and combating the use of financial systems and non-financial entities for illegal activities.
Education Campaign
The bank has also launched a campaign to educate its supervised institutions on the risks associated with proliferation financing and the consequences of non-compliance with anti-money laundering and counter-terrorism financing regulations.
“We urge all risk and compliance managers, suspicious transaction reporting officers and members of the Mozambican Banking Association to be aware of the new measures and to report any suspicious transactions or information related to the freezing of economic assets and resources,” said the spokesperson.
List of Designated Individuals and Groups
The central bank has also provided a list of individuals and groups designated by the United Nations Sanctions Committee (terrorism and its financing) and urged all financial institutions to verify their customer lists against this list.
Virtual Meeting with Supervised Institutions
In addition, the bank has launched a virtual meeting with its supervised institutions to present the preliminary results of the sectoral risk assessment for money laundering, terrorism financing and proliferation of weapons of mass destruction.