Tanzania

New Documents

The Basel Institute on Governance announced that the Deferred Prosecution Agreement of the United Kingdom Serious Fraud Office with Standard Bank PLC, has culminated with a settlement agreement with Tanzania’s National Prosecution Service.

The Basel Institute on Governance highlighted that over the past year four graduates of its train-the-trainer program have delivered training sessions to over 300 law enforcement officials regarding anti-money laundering matters, asset recovery and mutual legal assistance.

Enforcement Actions

The Bank of Tanzania issued a notice announcing the fine of TZS175 million against the Dar es Salaam, Tanzania-based financial institution for its violation of regulations 17, 22 and 28 pursuant to Anti-Money Laundering Regulations, 2012.

The Bank of Tanzania announced a fine of TZS325 million against the Dar es Salaam, Tanzania-based bank by the Bank of Tanzania is for its breach of regulations 17, 22 and 28 of the Anti-Money Laundering Regulations, 2012.


Important Facts

  • The U.S. State Department identifies Tanzania as a major money laundering jurisdiction. While Tanzania is not a major regional financial center, its location at the crossroads of southern, central and eastern Africa leaves the country vulnerable to illicit finance and criminal activities with nexuses to money laundering. Such crimes include tax evasion, corruption, smuggling, trade invoice manipulation, illicit trade in drugs and counterfeit goods, wildlife trafficking, and terrorist financing. Given that a majority of Tanzania's population works in the informal sectors, cash-based, informal, nontraditional financial systems heighten vulnerabilities to financial crimes. Individuals and financial investors attempt to evade taxes by transferring money outside the formal financial system. Cross-border trade in used-cars, auto parts, clothing, cosmetics, smuggled cigarettes and foodstuffs, as well as illegal trading in precious minerals and stones also presents challenges in combating financial crime. Criminals use front companies, hawaladars and currency exchanges to launder funds, particularly in the island of Zanzibar.Source: 2020 International Narcotics Control Strategy Report (INCSR)    

Rankings

FATF i

Technical Effectiveness
Compliant : 2 High :
Largely Compliant : 1 Substantial :
Partially Compliant : 12 Moderate :
Non-Compliant : 34 Low :

BASEL i

Rank : 17/125
Score : 6.63/10

TRANSPARENCY INTERNATIONAL i

Rank : 96/180
Score : 37/100

Tax Justice Network i

Rank : 98/133
Score : 71/100