Financial Crime World

Effectiveness of Anti-Money Laundering (AML) and Combating Financing of Terrorism (CFT) in the Democratic Republic of Congo

The Democratic Republic of Congo (DRC) has been identified as having several weaknesses in its anti-money laundering (AML) and combating financing of terrorism (CFT) system. This report highlights these weaknesses and provides recommendations for improvement.

Weaknesses in the DRC’s AML/CFT System

  • Limited capacity and moral integrity of investigators and magistrates: The current investigators and magistrates lack the necessary skills and moral integrity to effectively investigate and prosecute money laundering cases.
  • Weak legislative and regulatory framework: The DRC’s legal framework is outdated and does not fully comply with international standards, including the 2012 FATF Recommendations.
  • Inadequate supervision of financial institutions and DNFBPs: There is a lack of risk-based approach in supervising financial institutions and designated non-financial businesses and professions (DNFBPs).
  • Limited coordination between authorities: Although the Committee to Combat Money Laundering and the Financing of Terrorism (COLUB) has been created to coordinate efforts, it lacks resources and cannot hold meetings.
  • Inadequate use of data: Criminal prosecuting authorities do not make optimal use of available data to investigate money laundering cases.

Recommendations for Improvement

To address these weaknesses, the DRC should:

  1. Update its legal framework to comply with international standards.
  2. Strengthen investigative and prosecutorial capacities, including providing training and resources for investigators and magistrates.
  3. Improve supervision of financial institutions and DNFBPs, using a risk-based approach.
  4. Enhance coordination between authorities, ensuring that COLUB has the necessary resources to effectively coordinate efforts.
  5. Improve data collection and analysis, enabling criminal prosecuting authorities to make better use of available information.

By implementing these recommendations, the DRC can strengthen its AML/CFT system and improve its effectiveness in combating money laundering and financing of terrorism.