The Estonian AML/CFT Committee (the Anti-Money Laundering Government Committee), and the Countering the Financing of Terrorism Committee) approved a broad national risk assessment methodology to be introduced by summer 2020.
Last year, the AML/CFT Committee submitted a thorough analysis and a number of proposals on enhancing the prevention of money laundering. The proposals mostly concerned both the institutional and legal frameworks, and were further developed by two expert working groups.
The proposal was released after the big case of Danske Bank, as the cases of money laundering that have recently been reported in the media are old cases and the current situation has now changed, the proposals are mainly based on the current perspective and future risks.
In response to the proposals, a strategic monitoring and analysis centre on money laundering and terrorist financing prevention will be established at the Financial Intelligence Unit. This will be complemented by significantly increased fine rates in the financial sector, tougher regulations on virtual currency service providers, and the adoption of money laundering risk assessment methodology.
The national risk assessment on money laundering and terrorist financing prevention aims to identify and understand the future risks and to contribute to their prevention. The risk assessment methodology was developed by PricewaterhouseCoopers and is based on World Bank methodology, but tailored to fit Estonia’s conditions and particularities.
The Methodology comprises these following components:
This national risk assessment methodology will be introduced by summer 2020.
Source: Estonian Government
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