Kuwait’s FIU Engages European Firm to Strengthen Compliance with FATF

Kuwait’s Financial Investigations Unit is set to contract Financial Transparency Advisors for 6.1 million euros over 19 months to aid in combating money laundering and terrorism financing. The State Audit Bureau has approved the contract, emphasizing appropriate pricing and the need for ongoing staff training. FATF has highlighted significant shortcomings in Kuwait’s current money laundering efforts.

Kuwait’s Financial Investigations Unit (FIU) is nearing the completion of a contract with Financial Transparency Advisors (FTA), an advisory firm located in Vienna, Austria. This collaboration aims to bolster Kuwait’s measures against money laundering and terrorism financing, particularly in light of evaluations by the Financial Action Task Force (FATF) and the International Cooperation Review Team.

The State Audit Bureau (SAB) has conducted a review of the direct contracting documents and approved the contract with FTA, which amounts to 6.1 million euros over a 19-month period, concluding on March 31, 2026. SAB stressed the necessity for FIU to verify that the proposed fees are competitive and in accordance with prevailing market rates, while also emphasizing the importance of training local staff to perform essential tasks related to this initiative.

In its latest report from October, FATF identified significant shortcomings within Kuwait’s efforts to counter money laundering, despite the existence of sound legal and regulatory frameworks. While acknowledging a solid grasp of the risks by key regulatory bodies including the Central Bank and Capital Markets Authority, FATF noted persistent challenges in effectively addressing money laundering and terror financing.

In conclusion, the collaboration between Kuwait’s FIU and Financial Transparency Advisors aims to enhance the country’s ability to combat money laundering and terrorism financing, as highlighted by the FATF’s recent assessment. The contract, valued at 6.1 million euros, will facilitate expert guidance while ensuring that local staff are adequately trained to manage these critical responsibilities without incurring additional public expenses. Continued oversight from the State Audit Bureau will further ensure fiscal accountability and effectiveness of the initiated measures.

Original Source: www.arabtimesonline.com