Namibia: Europe Designates Namibia As High-Risk

The European Commission (EC) last week designated Namibia as a excessive-possibility jurisdiction for antimoney laundering (AML) and counterterrorism financing frameworks (CFT).

The EC updated the European Union (EU) checklist of excessive-possibility jurisdictions and positioned Namibia in excessive-possibility jurisdictions similar to Algeria, Angola, Côte d’Ivoire, Kenya, Laos, Lebanon, Monaco, Nepal and Venezuela.

The EC’s resolution is arena to scrutiny by the European parliament and European Council of Ministers within the coming month.

If authorized, the checklist will enter into power 20 days after publication in the EU Authentic Journal.

“To be delisted, Namibia will must show sustained progress in imposing the Monetary Action Job Force (FATF) Action Thought, which incorporates measures to enhance the effectiveness of its AML/CFT regime.

As soon as Namibia is a ways off from the FATF gray checklist, the EC will assess the reforms undertaken based totally totally on EU-particular rules for delisting,” learn a media commentary from the EU.

The EU encourages persisted originate dialogue and technical engagement with all stakeholders in Namibia – both public and interior most.

European Union ambassador to Namibia Ana Beatriz Martins reaffirmed the EU’s commitment to working closely with the Namibian authorities.

She stated: “The EU values its strong partnership with Namibia. We are actively supporting Namibia’s efforts to strengthen its anti-money laundering framework through dedicated technical assistance, workshops and training activities between EU and Namibian experts from government, regulators and financial sector”.

She added: “We share the same goal: to work towards a more transparent, secure and trusted global financial system that protects us from abuse by criminals, terrorists and corruption”.

The commentary elaborated that this resolution is an rapid final result of the FATF’s deliberations at its February 2024 Plenary Meeting. It resulted in Namibia’s inclusion on the FATF gray checklist due to the identified strategic deficiencies. The EU is legally certain to take into accout itemizing any FATF-listed nation.

As soon as in construct, banks and financial institutions in the EU27 will be required to prepare enhanced due diligence measures when conducting financial transactions intriguing Namibia.

“It is miles mandatory to show that this itemizing does no longer amount to sanctions or prevent Namibia from having access to EU replace, funding or cooperation funding.

The itemizing is no longer a political judgment nor a punitive action. It is miles a procedural requirement to execute particular that handsome financial vigilance.

Namibia remains a valued partner of the EU,” the commentary added.

In mid-2024, an EU delegation to Namibia positively answered to a are waiting for by Namibian authorities to attend in the implementation of the action procedure required by the FATF.

On this regard, technical aid and knowledgeable exchanges are ongoing between EU specialists and officers from the Namibia Monetary Intelligence Centre (FIC), Namibia Earnings Company, Customs Authority, Namibian Police and other authorities alive to with the enforcement of Namibia’s AML and FCT framework.

These initiatives aim to enhance Namibia in fulfilling its FATF action procedure and by some means pave the style for elimination from both the FATF gray checklist and the EU excessive-possibility checklist.