National Risk Assessment AML/CFT
National Risk Assessment AML/CFT
Botswana is a member of Eastern and Southern Africa Anti-Money Laundering Group (ESAAMLG), the body which subscribes to Financial Action Task Force (FATF) Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) recommendations.
Among these FATF recommendations, Recommendation 1, as read with its interpretive note requires that countries should identify, assess, and understand the money laundering and terrorist financing risks for the country. Countries should apply a Risk-Based Approach (RBA) to ensure that measures to prevent or mitigate money laundering and terrorist financing are commensurate with the risks identified. This approach should be an essential foundation to efficient allocation of resources across the AML/CFT regime and the implementation of risk based measures throughout the FATF Recommendations. Where countries identify higher risks, they should ensure that their AML/CFT regime adequately addresses such risks. In the event, countries identify lower risks, they may decide to allow simplified measures for some of the FATF Recommendations under certain conditions.
It is against this background that Botswana is undergoing a National Risk Assessment (NRA) to comply with regional and international standards by virtue of being a member of the ESAAMLG. The project is made up of eight (8) modules as follows:
1. Threat Assessment
2. National Vulnerability
3. Banking Sector Vulnerability
4. Securities Sector Vulnerability
5. Insurance Sector Vulnerability
6. Other Financial Institutions Vulnerability
7. Designated Non-Financial Businesses & Professions (DNFBPs) Vulnerability
8. Financial Inclusion Products Risk Assessment
The NRA project commenced in March 2015 and it is still ongoing, and expected to be concluded during the last quarter of the year 2016/17.
The following documents give the general overview of what the project entails.
1. PREPARATION FOR INITIAL WORKSHOP
3. NRA Concept
8. NRA Broshure