US, GCC officials discuss ‘combating’ terror finance, anti-money laundering

Participants agree to explore key issues related to effective information sharing

WASHINGTON, Oct 12, (KUNA): Government officials and financial sector representatives from the GCC met with their American counterparts on Tuesday at the US Treasury to continue a discussion regarding global anti-money laundering, combating the financing of terrorism, and correspondent banking.

The meeting built upon conversations that begin in November, 2015 regarding financial connectivity between Gulf and US banks and advancing best practices related to implementation of antimoney laundering and combating terror finance standards.

“In particular, the dialogue sought to explore banking issues as they relate to exchange houses, charities, and small- and mediumsize banks in the Gulf,” a statement from the Treasury said.

“Discussions focused on developing a shared understanding between Gulf and US stakeholders regarding the issues that these Gulf-based entities face in order to appropriately address outstanding concerns.” Public and private sector participants have been included in the meetings since 2015.

For the future, participants have agreed to explore “key issues related to effective information sharing, and will carry forward lines of effort focused on banks, exchange houses, and charities,” the statement said.

Earlier, US Treasury Secretary Jacob Lew said that the International Monetary Fund (IMF) should “fully and immediately” implement 2010 reforms which provide two emerging member nations seats at its executive board.

These “important” reforms, agreed by advanced European members, will render the executive board “more representative of the changing global economy,” he said at a meeting of the IMF’s policy steering panel, the IMFC.

The IMF should also “more boldly and forcefully advocate for strong, sustainable, balanced and inclusive growth by exhorting member countries to utilize all available policy levers to boost demand,” he

said.

Lew went on to urge both the IMF and World Bank to increase their own internal resources to support members impacted by withdrawal of correspondent banking relationships.