NATIONAL ASSESSMENTS OF MONEY LAUNDERING RISKS: LEARNING FROM 8 ADVANCED COUNTRIES’ NRA

The World Bank has published this report analysed the National Risk Assessments published by 8 systemically important countries – Canada, Italy, Singapore, Japan, the Netherlands, Switzerland, UK and US – to test whether they demonstrate that basic understanding and to draw lessons for national governments from those NRA.  It says that the 8 show very different conceptualisations, analytic approaches, and products.  Each raises serious issues regarding the risk assessment methodology.  For example, most relied largely on expert opinion, which they solicited in ways that are inconsistent with the well-developed methodology for making use of expert opinion.  They misinterpreted data from suspicious activity reports and failed to provide risk assessments relevant for policymakers.  Only one described the methodology employed.  Although the challenge of conducting strong risk assessments is great, given the difficulty of estimating the extent of money laundering in any sector, the findings based on this limited sample point to ways to improve substantially on existing practices.  The report concludes with a set of suggestions for (international) policy makers and those conducting NRA for improving risk assessments.  Suggestions include increased clarity about the conceptualisation of risk, transparency about data and methods so that each country can learn from others, and the adoption of more formal and standardised methods of eliciting expert opinion.

https://openknowledge.worldbank.org/bitstream/handle/10986/37305/IDU02386c9b80f623045e70bf8a09a30b6162595.pdf?sequence=1&isAllowed=y

Any modest contributions for my time and ongoing expenses are welcomed!  At Buy me a Coffee one-off contributions start as low as $3, at

https://www.buymeacoffee.com/KoIvM842y

NOTE THAT THE ABOVE LINK IS NOW CORRECTED AND WORKS!

Author: raytodd2017

Chartered Legal Executive and former senior manager with Isle of Man Customs and Excise, where I was (amongst other things) Sanctions Officer (for UN/EU sanctions), Export Licensing Officer and Manager of the Legal-Library & Collectorate Support Section

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: