To protect the nation’s financial stability and integrity, the UAE has launched its National Strategy for Anti-Money Laundering (AML), Countering the Financing of Terrorism (CFT), and Proliferation Financing (CPF) for 2024-2027. Approved by the UAE Cabinet, this strategy aims to strengthen the country’s legal and regulatory framework to better fight financial crimes, in line with international standards. It shows the UAE’s commitment to maintaining a transparent and secure financial system.
12 Key Goals: Strengthening the AML/CFT/CPF Framework
The strategy is built on 12 key goals to enhance the UAE’s ability to combat financial crimes:
- Improved Risk Awareness: Constantly assessing new threats and risks in the financial system to stay ahead of criminal activities.
- Stronger Oversight: Enhancing the role of the National Committee for Anti-Money Laundering (NAMLCFTC) to manage AML/CFT efforts across the country more effectively.
- Better Law Enforcement: Strengthening law enforcement through advanced training and tools to detect and stop money laundering and terrorism financing.
- Asset Seizure: Focusing on aggressively seizing criminal assets to deter financial crime.
- Faster Prosecution: Improving the efficiency of the judicial system to ensure timely punishment of offenders, discouraging future crimes.
- Enhanced Regulation: Strengthening oversight in high-risk sectors through strict compliance measures to prevent financial crimes.
- Crackdown on Illegal Activities: Targeting unlicensed money transfer services to reduce risks from unregulated channels.
- Swift Financial Sanctions: Quickly applying sanctions to stop funds from being used for terrorism or other illegal activities.
- Better Business Registration: Simplifying business registration to prevent loopholes used for financial crimes and improve transparency.
- International Collaboration: Building stronger partnerships with global organizations to tackle financial crimes together.
- Tougher Terrorism Financing Laws: Continuing to take strong action against terrorism financing with thorough investigations and legal measures.
- Ongoing Legal Updates: Keeping the legal framework up to date to address new risks and meet global standards.
A Vision for Financial Security
The UAE’s strategy is not just about laws; it’s a proactive plan to protect the financial system at all levels. This includes improving the use of human and technical resources, enhancing data collection, and working with international partners to combat emerging crimes like cyber threats and money laundering through trade or virtual assets.
In early 2024, the UAE was removed from the Financial Action Task Force’s (FATF) Grey List, a milestone reflecting its commitment to international standards. His Highness Sheikh Abdullah bin Zayed Al Nahyan, Deputy Prime Minister, emphasized the nation’s determination to maintain a crime-free financial environment.
Public and Private Sector Cooperation
The UAE understands that fighting financial crime requires cooperation between the government and businesses. The 2024-2027 strategy involves both sectors to ensure that it meets international standards and tackles local challenges. This joint effort creates a strong defense against financial misconduct.
Addressing New Threats: Cybercrime and Virtual Assets
With financial crime evolving, the strategy focuses on monitoring and regulating digital currencies and virtual assets to prevent their misuse in money laundering and terrorist financing. Strengthening cybersecurity and improving oversight of these activities are vital to protecting the financial system.
A Global Leader in Financial Crime Prevention
Through continuous improvement of its regulatory system, international cooperation, and proactive responses to emerging threats, the UAE is setting new standards in the global fight against financial crimes. This reinforces its reputation as a trusted financial hub.
Expert Guidance with Hallmark International Auditors
Hallmark International Auditors is ready to help businesses stay compliant with these new regulations. Our expertise ensures your organization can navigate the changing AML/CFT landscape and protect itself from financial risks. Partner with us to stay ahead and secure your business against growing threats.