Mozambican authorities today admitted to Lusa the possibility of Mozambique leaving the Financial Action Task Force's (FATF) "grey list" of financial jurisdictions in March.
"Today we received the results of the sixth assessment report from the FATF and Mozambique was assessed in the 26 actions it was required to comply with, with the result of being largely complied with, and was positively approved in 25 actions", said the national coordinator for the removal of Mozambique from the grey list, Luís Abel Cezerilo.
Mozambique was added to the list on October 22, 2022 for failing to eliminate deficiencies in the fight against money laundering and terrorist financing.
Luís Cezerilo, who is also deputy director-general of Mozambique's Financial Intelligence Office, said the country had an "exceptional result" in the latest assessment by the Financial Action Task Force, and the "great political commitment to fulfilling its plan of action".
Mozambique's exit from the grey list, Cezerilo indicated, is now pending the last of the 26 required actions, the submission to the FATF of the list of Non-Profit Organizations (NPOs) that move "large sums of money" including data relating to the application of values.
"There is a lack of immediate results related to Non-Profit Organizations, in terms of qualifying which of them fit the FATF recommendation. The country has already done everything, these organizations just need to update their databases," Cezerilo pointed out, warning that the law only requires the aforementioned organizations to update the now required information in their database on the date of their legal constitution.
"We have already done everything, the law that we cannot go against requires that organizations register on the date of their incorporation. What we are going to do is that for all those who register by March, we will have the number, so we will be able to inform the FATF", concluded.
A report by the Mozambican government, carried out within the scope of the Mozambican government's commitment as a member of the FATF global network, concluded in June that there are no links between NPOs and the financing of terrorism, which affects the northern province of Cabo Delgado, but pointed out vulnerabilities.
"No links and/or use of NPOs for the financing of terrorism were identified. Nor was there evidence of fraud and corruption practices in the NPO sector or crimes such as money laundering," the report says.
The document recognizes the "existence of terrorism in Mozambique from the terrorist group operating in Cabo Delgado called ASWJ [Ahlu Sunnah Wal Jamaah] and its connection" with the Islamic State.
The report points out that "potentially" "terrorist actors can abuse" these organizations as "vehicles for receiving financial resources from abroad for internal channeling", through the use of "religious institutions, such as mosques and madrassas, for recruitment and logistical support", as well as the possibility of "terrorist supporters" falsely presenting themselves as humanitarian aid agencies to conceal their activities."
