RIYADH: The UAE is stepping up its efforts to combat money laundering and increase financial transparency with the establishment of specialized prosecution entities.
After being included in the Financial Action Task Force’s grey list of countries that have strategic deficiencies in anti-money laundering systems in March 2022, the UAE has announced that it will set up bodies to fight such economic crimes, reported Emirates News Agency, also known as WAM.
This move will help the UAE boost the confidence of investors from around the world and further encourage them to make the Gulf country’s environment a hub for their businesses.
The announcement came during the 18th meeting of the Supreme Committee to supervise the national strategy to diminish money laundering, which was chaired by the UAE Minister of Foreign Affairs Abdullah bin Zayed Al-Nahyan.
During the meeting, Director General at the Executive Office of Anti-Money Laundering and Counter Terrorism Financing Hamid Al-Zaabi reviewed a presentation including the action plan of the FATF, the procedures and plans carried out by each regulatory authority, as well as the progress made in this regard.
The items reviewed indicated an increase in the number of fines imposed by the regulatory authorities, which amounted to more than 130 million dirhams ($35 million) by the end of the second quarter of 2023, reflecting the effectiveness of the measures taken against violators.
Al-Zaabi also shed light on a surge in suspicious transaction reports that were submitted to the Financial Information Unit in comparison to 2022 figures.
This reflects the development of the understanding and awareness of the private sector as a result of the continuous efforts undertaken by all concerned authorities in the country, the presentation noted.
With regard to money laundering investigations, the presentation also noted an increase in the quality and number of cases.
The meeting was concluded by a presentation on the latest developments in the works of the national plan, in addition to reviewing the outputs of the plenary session of the FATF which was held in Paris in June 2023.
In February, the Executive Office of Anti-Money Laundering and Counter Terrorism Financing in the UAE signed a memorandum of understanding with the Egyptian Money Laundering and Terrorist Financing Combating Unit, WAM reported.
The MoU was aimed at expanding collaboration between the two countries, particularly in risk understanding and the exchange of knowledge, expertise, and practices in the fields of anti-money laundering and counterterrorism financing, to strengthen both countries’ responses to shared threats and risks.
The agreement also aimed to raise awareness and improve domestic and regional understanding through training courses, workshops, seminars, and conferences.
