money laundering
money laundering

Ghana became one of the latest countries the European Commission (EC) has blacklisted over weak regulations on money laundering and terror financing, a press release seen on the EC website here on Friday said.

The European Union Executive also named Saudi Arabia, Panama, and Nigeria among some 23 third countries as posing a threat because of lax controls on terrorism financing and money laundering.

“The European Commission adopted today a list of 23 third countries with weak rules against money laundering and terrorism financing,” the commission said in a press statement issued on Wednesday.

The aim of this list, the release explained, is to protect the EU financial system by better preventing money laundering and terrorist financing risks.

As a result of the listing, the EC urged banks and other entities covered by EU anti-money laundering rules to apply due diligence on financial operations involving customers and financial institutions from these high-risk third countries to better identify any suspicious money flows.

The statement explained the list of 23 countries had been established following in-depth analysis on the basis of a new methodology, which reflected the stricter criteria of the fifth anti-money laundering directive in force since July 2018.

It added that for each country, the Commission assessed the level of existing threat, the legal framework and controls put in place to prevent money laundering and terrorist financing risks and their effective implementation.

“The Commission also took into account the work of the Financial Action Task Force (FATF), the international standard-setter in this field,” the statement added.

Botswana, Ethiopia, Libya and Tunisia were the other African countries on the list which also included Yemen, Afghanistan, and US Virgins Island, among others. Enditem

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