Financial Crime World

Niger’s Fight Against Money Laundering and Terrorist Financing: A Report on Compliance with International Standards

In an effort to combat money laundering and terrorist financing (ML/TF), Niger has taken significant steps to comply with international standards. The Global Institute of Anti-Money Laundering and Combating the Financing of Terrorism (GIABA) recently assessed Niger’s efforts, highlighting key areas that require improvement.

Progress Made

Niger has made progress in initiating its first National Money Laundering/Terrorist Financing Risk Assessment (NRA) process. This assessment was inclusive, involving participation from various stakeholders, including:

  • Financial institutions
  • Designated non-financial businesses and professions (DNFBPs)
  • Nonprofit organizations (NPOs)

Challenges Identified

However, the report notes that Niger’s authorities did not conduct a specific study of the NPO sector to better understand its vulnerability to terrorist financing risks. Additionally, while reform efforts are underway for the organization and supervision of the NPO sector, more needs to be done.

Understanding ML/TF Risks

The report found that:

  • Law enforcement agencies (LEAs) and the National Intelligence Agency have a good understanding of ML/TF risks
  • Self-regulatory bodies (SRBs) and the Gendarmerie have limited knowledge

Niger’s authorities consider the risk of terrorist financing to be high due to the country’s geographic location and the presence of armed groups operating in the eastern region.

Recommendations for Improvement

The GIABA report provides recommendations on how Niger can enhance its anti-money laundering (AML) and combating the financing of terrorism (CFT) system, including:

  • Strengthening the national risk assessment process
  • Improving cooperation between law enforcement agencies and financial institutions
  • Increasing public awareness about the risks of ML/TF

Conclusion

While Niger has made progress in addressing ML/TF risks, more needs to be done to ensure effective implementation of AML/CFT measures. The country’s authorities must continue to prioritize this issue and work towards achieving international standards.