Afghanistan’s Financial Intelligence Unit Seeks to Stem Money Laundering and Terrorist Financing
Introduction
In a bid to combat money laundering and terrorist financing, Afghanistan has established the Financial Transactions and Reports Analysis Center (FinTRACA) as its financial intelligence unit. FinTRACA was set up in 2006 under the Anti-Money Launderling (AML) law passed by decree of the President of Afghanistan.
Mission and Responsibilities
With full autonomy in decision-making, FinTRACA is responsible for:
- Receiving, analyzing, and disseminating information related to money laundering and terrorist financing
- Denying use of Afghan financial institutions to those who obtained funds through illegal means, as well as those who would use them to support terrorist activities and other crimes
Collaboration with Stakeholders
FinTRACA works closely with:
- Financial supervisors
- Law enforcement agencies
- Prosecutors
to build an environment that identifies and combats money laundering activity and terrorist financing. This effort has national value, as it fulfills Afghanistan’s international obligations to combat money laundering and terrorism financing.
Functions
As the financial intelligence unit, FinTRACA receives, analyzes, and disseminates financial intelligence to:
- The Attorney General’s Office
- Law enforcement agencies
- Other relevant government bodies
- International counterparts
to assist in combating money laundering and financing of terrorism. FinTRACA also analyzes data from various sources, including entities with legal obligations to submit reports on suspicious transactions, as well as reports of cash transactions above a specified threshold amount.
Investigation Support
When analysis suggests illegal use of the financial system, FinTRACA works closely with law enforcement and/or the Attorney General’s Office to support their investigation of the illegal activity.
By implementing these efforts, Afghanistan aims to have a beneficial impact on its relations with foreign countries and international organizations.