Yemen Sees Significant Gains in Fighting Financial Crime, Report Reveals

The Aden’s Financial Intelligence Unit (FIU) has released its second annual report, showcasing the country’s growing strength in combating financial crime and terrorist financing.

Establishment of a Strong Foundation for Effective Financial Intelligence Gathering

The FIU, established in 2019 with support from USAID’s Economic Recovery and Livelihoods Program (ERLP), has made significant strides in identifying patterns and trends related to suspicious transactions and activities. The unit has been working closely with experts from USAID ERLP to establish a strong foundation for effective financial intelligence gathering.

Key Achievements

• Establishment of an Anti-Money Laundering/Counter Financing Terrorism (AML/CFT) unit within the Central Bank of Yemen (CBY), responsible for overseeing inspections of banks and exchange houses. • Distribution of circulars to financial institutions, requiring them to classify clients according to risk levels and submit detailed annual reports.

USAID ERLP Support

USAID ERLP has provided critical support to the FIU, including:

• On-site inspections of banks participating in foreign exchange auctions • Training for the unit’s staff

The collaboration has also led to the signing of information-sharing memoranda with six countries: Algeria, Ethiopia, Jordan, Libya, Somalia, and United Arab Emirates.

A Secure and Stable Financial Environment

Yemen’s financial system is now better equipped to detect and prevent suspicious transactions, thanks to the efforts of the FIU and USAID ERLP. The report concludes that Yemen’s financial system is becoming increasingly transparent and compliant, reflecting the country’s growing commitment to fighting financial crime.

Conclusion

The FIU looks forward to continuing its work with USAID ERLP and other partners to ensure a secure and stable financial environment for all citizens. As Aden’s FIU head, Mr. Basem Dabwan, stated: “Our commitment to best practices and international standards, combined with our partnership with USAID/ERLP, has been instrumental in achieving significant gains in combating financial crime.”