Kuwait Engages European Firm to Strengthen Anti-Money Laundering Efforts

Kuwait’s FIU will contract Financial Transparency Advisors to enhance efforts against money laundering and terrorism financing, as part of FATF follow-ups. The contract amounts to €6.1 million over 19 months. The State Audit Bureau supports this initiative but stresses the need for local staff training and budget management.

Kuwait’s Financial Investigations Unit (FIU) is finalizing a contract with Financial Transparency Advisors (FTA), an Austrian firm. This collaboration aims to enhance Kuwait’s strategies in combating money laundering and terrorism financing, especially as Kuwait undergoes evaluations by the Financial Action Task Force (FATF) and the International Cooperation Review Team.

The State Audit Bureau (SAB) has reviewed the contract documents and raised no objections. The contract, valued at €6.1 million, is scheduled to last for 19 months, concluding on March 31, 2026. SAB urged FIU to ensure the pricing aligns with market rates and emphasized the significance of training local staff to manage related tasks effectively, preventing unnecessary public expenditure.

In its recent report, FATF indicated “serious shortcomings” in Kuwait’s measures against money laundering, despite a comprehensive legal framework. The FATF acknowledged a solid understanding of the risks among regulatory authorities such as the Central Bank, Capital Markets Authority, and the Insurance Unit, highlighting areas yet to be addressed in combating financial crimes.

In summary, Kuwait is taking significant steps to address FATF’s concerns by engaging Financial Transparency Advisors for expertise on combating financial crimes. With an approved budget and a focus on training local personnel, Kuwait aims to enhance its compliance measures. While the foundational legal framework exists, ongoing improvements are necessary to align with international standards and effectively tackle money laundering and terrorism financing.

Original Source: www.arabtimesonline.com