Financial Crime World

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Turkey’s Efforts to Comply with AML/CFT Regulations Under Scrutiny

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Turkey has made significant strides in implementing anti-money laundering (AML) and combating the financing of terrorism (CFT) regulations, according to a recent report. The country has been assessed on its compliance with the Financial Action Task Force (FATF) recommendations, which provide a framework for countries to combat money laundering and terrorist financing.

Progress Made

According to the report, Turkey has made progress in several areas:

  • Assessing risk and applying a risk-based approach
  • National cooperation and coordination
  • Targeting financial sanctions related to terrorism
  • Implementing measures to prevent the misuse of new technologies and wire transfers
  • Requiring customer due diligence and record keeping

Areas for Improvement

However, there are still areas where Turkey needs to improve:

  • The country’s laws and regulations on financial institution secrecy are not fully compliant with FATF standards.
  • There is a need for greater transparency in the beneficial ownership of legal persons and arrangements.

Recommendations

The report recommends that Turkey:

  • Improve its regulation and supervision of financial institutions
  • Enhance its powers of supervisors
  • Strengthen cooperation with international partners to combat money laundering and terrorist financing

Government Response

The Turkish government has expressed commitment to implementing AML/CFT regulations and has taken steps to address some of the concerns raised in the report. However, more work is needed to bring Turkey fully into compliance with FATF standards.

Full Report

The full report can be accessed at [insert link].

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