02 Oct Regional initiative targets evolving fraud and money laundering risks

The Middle East and North Africa could see greater cooperation in tackling increasingly complex financial and cyber-enabled fraud under a new regional initiative proposed by the UAE presidency of the Middle East and North Africa Financial Action Task Force (MENAFATF).

The proposed initiative would examine fraud typologies and associated money laundering across the region, with a particular focus on how criminals are exploiting digital financial services, virtual assets and online platforms.

Announced by MENAFATF President Hamid Saif Al Zaabi in Abu Dhabi on 27 September, the proposal is due to be presented at the organisation’s next Plenary Meeting.

Rather than focusing solely on financial regulation, the initiative would seek to improve the operational intelligence available to authorities investigating financial crime. Plans include creating a shared regional knowledge base covering fraud methods, emerging trends and the scale of related money laundering, alongside the exchange of case studies between member states.

The proposal also includes a regional network of practitioners to improve cooperation between authorities involved in money laundering investigations. This could support the tracing, freezing, seizure and recovery of criminal proceeds, including those generated through cyber-enabled fraud and virtual assets.

Areas identified for study include banking and financial fraud, cyber-enabled and investment fraud, real estate fraud, money transfer and hawala channels, virtual assets and digital trading platforms, as well as trade-based money laundering.

For African security stakeholders, the initiative is relevant to the wider challenge of cross-border financial and cybercrime, where criminal networks can operate across multiple jurisdictions and move proceeds through increasingly complex digital and financial channels.

The proposed work would draw on data from participating states, case studies and mutual evaluation reports, alongside research and experience from the Financial Action Task Force and other regional bodies.

If adopted, the initiative could provide a more structured basis for identifying emerging fraud patterns and sharing intelligence between authorities — particularly as digital financial services create new opportunities for both legitimate commerce and criminal exploitation.