Peru’s Money Laundering Techniques Under Scrutiny

A recent report has revealed that Peru is struggling to implement the technical requirements of the Financial Action Task Force (FATF) recommendations, with several areas identified as needing improvement. The report assesses the country’s efforts in combating money laundering and terrorist financing, highlighting several techniques used by criminals to launder money.

Implementation of FATF Recommendations

Peru has made significant progress in assessing risk and applying a risk-based approach, with a rating of compliant. However, it has also been found that the country is lacking in its implementation of national cooperation and coordination, receiving a rating of largely compliant.

• Laws and regulations regarding money laundering and terrorist financing are adequate, with a rating of compliant.
• Concerns remain about the country’s confiscation and provisional measures, which have been rated as partially compliant.

Money Laundering Techniques Used by Criminals

The report highlights several money laundering techniques used by criminals in Peru, including:

• Cash couriers
• Wire transfers
• Use of new technologies such as cryptocurrencies

Recommendations

The report makes several recommendations to Peru aimed at improving its implementation of the FATF recommendations. These include:

• Strengthening national cooperation and coordination between government agencies and financial institutions
• Improving the country’s confiscation and provisional measures laws and regulations
• Enhancing the supervision and regulation of financial institutions and designated non-financial businesses and professions (DNFBPs)
• Improving customer due diligence and record-keeping requirements for financial institutions and DNFBPs

By addressing these areas, Peru can improve its efforts to combat money laundering and terrorist financing, and ensure that its financial system is protected from criminal activity.