FATF Highlights Kuwait's Anti-Money Laundering Challenges

The global anti-money laundering watchdog FATF reported that while Kuwait has a solid legal framework against money laundering and terrorism financing, there are significant gaps in achieving effective results, particularly in addressing terrorist financing and focusing on beneficial ownership across various sectors.

The Financial Action Task Force (FATF), a global anti-money laundering watchdog, has identified substantial shortcomings in Kuwait's efforts to combat money laundering and terrorism financing. Despite having an adequate legal framework, the country struggles to achieve effective outcomes.

In a recently released progress report, the Paris-based organization pointed out the deficiencies in Kuwait's approach to addressing terrorist financing. The report emphasizes the necessity for improvement in this area.

According to the FATF, while banks and larger financial institutions in Kuwait comprehend the risks and their responsibilities, there is a need for supervisors in both financial and non-financial sectors to concentrate more on beneficial ownership.

(With inputs from agencies.)