MFDP Permanent Secretary opens the first ever money laundering and terrorist financing national risk assessment in Botswana
NATIONAL RISK ASSESSMENT FOR MONEY LAUNDERING AND TERRORIST FINANCING WORKSHOP
SPEECH BY
MR SOLOMON SEKWAKWA
PERMANENT SECRETARY, MINISTRY OF
FINANCE AND DEVELOPMENT PLANNING
AT TLOTLO CONFERENCE CENTRE
ON THE
04TH MARCH, 2015
It gives me great pleasure to extend to you all a warm welcome on behalf of the Ministry of Finance and Development Planning. A special warm welcome to Botswana goes out to the representatives from the World Bank who are the facilitators of this workshop. It is also my hope and believe that you will have a pleasant time during your stay in our Country.
This workshop represents a huge milestone for our Country’s financial sector as it marks the beginning of the first ever money laundering and terrorist financing national risk assessment in Botswana. The money laundering and terrorist financing national risk assessment is a process which entails identification and evaluation of the money laundering and terrorist financing risks of a country and analysing the main sources and drivers of the risks. The findings of the project should put the Country in a position to develop effective and risk-based policies and actions, and allocate the available resources in the most efficient way to eliminate, control and mitigate the identified risks.
Ladies and gentlemen, this project has been made possible by the World Bank by providing expertise and the tool used to analyse the data. Allow me, on behalf of the Government of Botswana, to convey our sincere gratitude to the World Bank for assisting, both financially and technically in making this project a reality.
Efforts to combat money laundering by the International community gave birth to the Financial Action Task Force (FATF). FATF is an independent inter-governmental body that develops and promotes policies to protect global financial systems against Money Laundering and Financing of Terrorism.
In terms of Recommendation 1 of the 40 FATF recommendations countries should identify, assess and understands the money laundering and terrorist financing risks within their jurisdiction and take action and apply resources to mitigate such risks, based on a risk-based approach. The money laundering and terrorist financing national risk assessment project is critical and urgent for Botswana as it is meant to address Recommendation 1 of the Financial Action Task Force (FATF).
Additionally, the NRA will also address the findings by the World Bank Mutual Evaluation of 2007 which recommended Botswana to undertake an in-depth review of the money laundering and terrorism financing risks and vulnerabilities.
Ladies and gentlemen, money laundering and terrorist financing could have dire social, economic and political repercussions for economies if left unchecked. It is for this reason that the Government of Botswana developed the Country’s anti-money laundering and counter terrorist financing regime. The regime is reviewed on a continuous basis for improvement and for alignment with international standards. To give an example, last year Parliament approved the Anti-Terrorism, the Anti-Human Trafficking and the Proceeds and Instruments of Crime Act legislations. These legislations together with the Financial Intelligence Act and other supporting legislations are the basis for the Country’s anti-money laundering and counter terrorist financing framework.
The results of the national risk assessment will inform the Country’s policy makers of where to tighten the current anti-money laundering and terrorist financing regime, and properly channel resources to mitigate such risk based on a risk-based approach. This will make our Botswana a more secure country in terms of money laundering and terrorist financing and consequently a centre of attraction for foreign direct investment.
Let me take this opportunity to encourage all institutions which are required to provide data, statistics and any other information required for the project to do so without reservations as this is a national project which is meant to benefit the country.
My sincere appreciation goes to the management of all the institutions (both Government and Non-Government) that are taking part in this project for allowing their officers the time and resources to commit to the project. I have been reliably informed that the commitment and the energy from the participants is very encouraging. I applaud and urge the participants to continue with that spirit and I have no doubt that you will make the project a huge success.
In conclusion, allow me to once again appreciate the assistance from World Bank and in particular thank the representatives for being willing to share their experiences, knowledge and skills with the workshop participants. I wish you good luck, fruitful deliberations and a successful workshop.
Thank you for your attention.