Paris-based Financial Action Task Force (FATF), an organization which develops global policies against money laundering, has put Kenya on a watchlist due to the Government’s inadequate measures to curb money laundering and terrorism financing.
Being on the watchlist of the global Anti-Money Laundering, Countering the Financing of Terrorism, and Proliferation of Weapons of Mass Destruction, means a country is doing little to curb the crimes, though, has laid policies to combat them, policies which FATF considers ineffective to end the crimes.
BRK has further established that Treasury Cabinet Secretary (CS) Prof. Njuguna Ndung’u has confirmed the development issued Friday by FATF.
He says the Government is fully committed to implementing FATF’s action plan and the move would only have ‘minimal effects’ on Kenya’s financial stability.
A report from FATF says Kenya mainly faces risks from flows of money linked to terrorism financing from both inside and outside its borders, while cryptocurrencies poses further risks.
While Kenya was added to the watchlist, United Arab Emirates was removed, FATF noting that UAE has made significant and distinguished efforts to fight money laundering and terror financing.
