Nauru Unveils Ambitious Plan to Combat Money Laundering and Terror Financing
The Republic of Nauru has launched a comprehensive strategy to tackle money laundering and terror financing, aimed at protecting its financial system and preventing the misuse of its economy.
National Strategy for Anti-Money Laundering and Combating the Financing of Terrorism 2022-2025
The National Strategy outlines five key pillars, including:
Developing Skills and Capacity
- Develop skills and capacity within law enforcement agencies through inter-agency training on anti-money laundering (AML) and combating the financing of terrorism (CFT) issues
- Focus on shared experiences and on-the-job learning
- Encourage online self-paced training on AML/CFT, offered free of charge by international organizations
- Seek technical assistance from regional and international partners and donors to provide training on technical skills
Data Collection Mechanisms
- Improve data collection mechanisms across sectors
- Financial Intelligence Unit (FIU) responsible for monitoring and assessing the effectiveness of this component
- Develop a template with guidelines on collecting statistical information for AML/CFT activities
- Conduct periodic collections of information every three to six months
- Explore technology as an option for improving data collection, sharing, and analysis
International Cooperation
- Recognize the importance of international cooperation in combating money laundering and terror financing
- Commit to working closely with regional and global partners to stay ahead of emerging threats
- Emphasize the need for national AML/CFT/CPF policies informed by identified risks, which will be regularly reviewed and updated
Key Recommendations
- Assessing risks and applying a risk-based approach: Identify, assess, and understand money laundering and terror financing risks, and apply measures to mitigate these risks effectively
- National cooperation and coordination: Ensure that policy-makers, the FIU, law enforcement authorities, supervisors, and other relevant competent authorities have effective mechanisms in place for cooperation, coordination, and information exchange
The National Strategy for Anti-Money Laundering and Combating the Financing of Terrorism 2022-2025 is a significant step forward in Nauru’s efforts to protect its financial system and prevent the misuse of its economy. The country is committed to working closely with regional and global partners to stay ahead of emerging threats and ensure a safe and secure financial environment for all stakeholders.