Anti-Money Laundering, Know Your Customer, and Curbing the Financing of Terrorism

Apr 13, 2017 | P. Makin | FSD Africa
This document provides a contextual background to the issues around customer registration, money laundering and terrorist financing, with a focus on the internationally applicable Financial Action Task Force (FATF) recommendations and their effects on the delivery of financial services worldwide. The objective of the paper is to help the reader to understand the current situation in the financial services industry; for example, why it makes sense for a bank to withdraw from a market, why this is an unintended consequence of the FATF, the applicability of the Riskbased Approach (RBA), how financial regulators need to engage, and what this means for financial service providers – including those in the so-called informal sector.