Papua New Guinea has achieved a significant milestone in its fight against financial crime, with its Mutual Evaluation Report (MER) officially adopted at the Asia/Pacific Group on Money Laundering (APG) Plenary in Abu Dhabi recently. This recognition highlights Papua New Guinea’s progress in strengthening its anti-money laundering and counter-terrorism financing (AML/CFT) framework, a critical step towards aligning with international financial regulatory standards.
The plenary provided Papua New Guinea with a platform to share its advancements, engage with global counterparts, and advocate for the adoption of its MER. Papua New Guinea has successfully addressed six out of seven critical areas identified in previous evaluations. These include implementing essential legal reforms, enhancing financial regulations, and fostering stronger interagency collaboration. Such measures have demonstrated substantial progress, effectively countering previous unfavourable ratings and mitigating the risk of placement on the Financial Action Task Force (FATF) Grey List.
Despite these achievements, Papua New Guinea remains under an expedited reporting process for the next 12 months to address remaining deficiencies. This process will involve more frequent and detailed progress updates, reflecting the country’s ongoing commitment to improving its AML/CFT framework. The government’s participation in the APG Plenary underscored its dedication to strengthening its regulatory environment and maintaining its standing within the international financial community.
A critical component of Papua New Guinea’s strategy moving forward is its collaboration with the Australian Transaction Reports and Analysis Centre (AUSTRAC) and other international stakeholders. Together, they will implement a Strategic Implementation Plan (SIP) aimed at addressing the gaps and recommendations outlined in the MER. This partnership is expected to further reinforce Papua New Guinea’s financial regulatory framework and reduce its risk of grey-listing.
The APG Plenary also allowed Papua New Guinea to engage with donor agencies for technical assistance, providing additional resources and expertise to support its compliance initiatives. These collaborations are pivotal for Papua New Guinea as it strives to align with global standards and strengthen its financial system’s integrity.
With the adoption of its MER, Papua New Guinea has taken a significant step forward in combating financial crimes. As the nation continues its efforts to enhance AML/CFT measures, this development reinforces its commitment to international cooperation and regulatory excellence, positioning it as a credible and compliant player in the global financial landscape.
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Main picture: The PNG delegation who attended the Asia Pacific Group on Money Laundering Plenary held in Dubai. [supplied]
(Story written from material in Papua New Guinea Investment Promotion Agency’s newsletter).
