Financial Crime World

Palau’s Financial Intelligence Unit Embarks on International Cooperation to Combat Financial Crimes

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Palau’s Financial Intelligence Unit (FIU) has announced its commitment to international cooperation in combating financial crimes, a significant move to strengthen anti-money laundering and counter-terrorism financing (AML/CFT) efforts.

Background

Established in 2001, the FIU is responsible for investigating suspected proceeds of crime and terrorist property, as well as ensuring compliance with AML/CFT requirements by financial institutions and designated non-financial businesses and professions.

International Cooperation

As a member of the Asia-Pacific Group (APG), Palau works towards complying with the Financial Action Task Force (FATF) 40 Recommendations and 11 Immediate Outcomes. The FIU is actively supporting the country’s efforts to meet these international AML/CFT standards, demonstrating its commitment to combating financial crimes.

Key Objectives

  • Comply with FATF 40 Recommendations and 11 Immediate Outcomes
  • Enhance intelligence gathering, analysis, and dissemination capabilities
  • Strengthen relationships with international partners

Organizational Structure

The FIU is headed by a Director appointed by the Governing Board of the Financial Institutions Commission (FIC), and is supported by a Senior Intelligence Analyst and an Administrative Specialist.

Strategic Plan 2023-2028

The FIU has recently adopted a new strategic plan, which outlines its goals and objectives in advancing AML/CFT efforts. The plan was developed through a two-day retreat held in September 2022, where the FIU and FIC Governing Board members discussed key priorities and objectives.

Key Priorities

  • Intelligence gathering and analysis
  • Relationship-building with international partners
  • Capacity building for staff and stakeholders

Conclusion

This move marks a significant step forward for Palau in its efforts to combat financial crimes and demonstrate its commitment to international cooperation. The FIU’s strategic plan will help strengthen the country’s AML/CFT framework, enhancing its ability to combat financial crimes and protect its financial system.