DUBAI, United Arab Emirates (AP) – A global body focused on fighting money laundering has placed the United Arab Emirates on its so-called “grey list” over concerns that global trade centers are close enough to deter criminals and terrorists. not doing. Hide the money there.
The decision late Friday by the Paris-based Financial Action Task Force put the United Arab Emirates, home of Dubai, and oil-rich Abu Dhabi on a list of 23 countries including Middle East countries Jordan, Syria and Yemen.
While trade in the emirate was not expected to be a dent, a federation of seven sheikhs on the Arabian Peninsula that is home to economic free zones and real estate ventures, it could strike at the country’s carefully managed business-friendly image. Rating agencies and other financial institutions also consider such listings a risk, which could affect interest rates for loans.
Praising the UAE’s “significant progress”, the body known as the FATF said more needed to be done. The UAE has already established a corporate registry and signed extradition agreements with other countries.
However, the United Arab Emirates has long been known as a place where cash, diamonds, gold and bags of other valuables can be moved in and out. In recent years, the State Department has described “bulk cash smuggling” in the emirate as “a significant problem”.
Relying on leaked data from Dubai properties, a 2018 report by the Washington-based Center for Advanced Defense Studies found that US-sanctioned war profiteers, terror financiers and drug smugglers boom-and-bust real estate in the city-state. driving the market. was used. As a safe haven for their money.
On Twitter, Emirati officials and its official WAM news agency reassured investors that the UAE remains a safe, regulated place to do business and will address international concerns.
Emirates said, “The UAE will continue its sustained efforts to identify, disrupt and punish criminals and illicit financial networks through close coordination with our international partners, along with the findings of the FATF and the UAE National Action Plan. ” Executive Office Anti-Money Laundering and Countering the Financing of Terrorism.
Senior Emirati diplomat Anwar Gargash wrote on Twitter that the country had made “significant progress in tackling financial crime.”
“As a major economic hub, we are determined to strengthen strategic cooperation with our partners to address this global challenge,” he wrote.
