Tonga’s Efforts to Combat Money Laundering Put Under Scrutiny

A comprehensive assessment has been conducted on Tonga’s measures to prevent money laundering and terrorist financing, revealing both strengths and weaknesses in the Pacific nation’s financial system.

Background

The assessment was carried out by the Asia-Pacific Group on Money Laundering (APG) from October 22 to November 1, 2019. The review evaluated the effectiveness of Tonga’s anti-money laundering (AML) and counter-terrorist financing (CFT) measures, as well as its level of compliance with international standards.

Assessment Results

According to the assessment, which has been endorsed by the Financial Action Task Force (FATF), Tonga’s AML/CFT regime has both positive and negative aspects. While the country has made significant progress in some areas, there are also areas that require improvement.

Key Findings

• Strengths:
  • Significant progress made in some areas
• Weaknesses:
  • Areas requiring improvement identified
• Recommendations:
  • Priority actions for Tonga to strengthen its financial system and ensure greater compliance with international standards

Priority Actions

APG has identified priority actions for Tonga to take, aimed at strengthening its financial system and ensuring greater compliance with international standards. Details of the key findings and priority actions can be found in the executive summary of the report.

Overall, the assessment highlights the need for continued efforts from Tonga to improve its AML/CFT regime and ensure a stronger financial system. By implementing the recommended priority actions, Tonga can better prevent money laundering and terrorist financing, while also enhancing its reputation as a stable and transparent financial hub in the Pacific region.