How The Emirate’s name was successfully removed from the FATF list.

The Financial Action Task Force (FATF), a group that embodies nations ranging from the United States to China to combat financial crime, announced on Friday, February 23rd, 2024, that the United Arab Emirates has been removed from the category known as the “Grey List.” It is a general characteristic of countries whose business dealings could be risky and smack of criminal activities. For sure, this is another testimony to the political weight and the economic might of the Emirates.

Dubai, as a regional and global financial hub, is the center of so many financial transactions. A few people use illicit money to conduct business. The official policies in the Emirates did form watchdog groups to eliminate that type of business. It is apparent to everyone that the UAE and Dubai have been successful in obliterating the practice of illicit money. This will boost the status of the Emirates as the world’s financial capital.

The investigation did not last long. It was only in 2022 that several warnings were issued over minimal financial transactions by foreigners that were susceptible to being illegal. And the question that looms large in the minds of many is how the Emirates did it and what tools it utilized in doing it that fast. The Emirates clarified that removing her name from this list is a top strategic priority.

Then, the UAE doubled down on the campaign to stop money laundering going through its borders. The Foreign Minister of the Emirates, Sheik Abdullah bin Zayed Al Nahyan, put a great deal of effort into accomplishing this task swiftly, decisively, and intelligently.

The Emirates’ effort will further enhance the world’s confidence in her financial abilities. Expectedly, more foreign money will come to the Emirates. In addition, the success of the Emirates adds to the global campaign against terrorism. However, despite putting the Emirates on that list, the Emirates was never doubted by any government or any financial and economic entity that doing business with that great nation was a severe interaction.

The success of the Emirates can induce other countries to do the same and eradicate illicit money from their finances. It will also make the Gulf region more prestigious for all investors worldwide. According to an economic source, “Measures taken by the UAE include increasing financial investigations and prosecutions, boosting international cooperation, and aligning virtual asset regulation with international standards.”

Undoubtedly, New York, London, Berlin, Paris, and other financial capitals must catch up with the Emirates to reach their level of financial transparency.

Related Posts