Money Laundering and Countermeasures : A Critical Analysis of Ethiopian Law with Specific Reference to the Banking Sector

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Date

2011-03

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Addis Ababa University

Abstract

Purpose: the purpose of this research is to crit ically examll1e the anti money laundering framework of the country, the mechan isms to fi ght it and to suggest \:vays of enhancing the effectiveness of the law in achieving its objective with specific reference to the banking sector. Design/ Methodology/ Approach: the relevant laws enacted to tackle money laundering are examined to assess their adequacy or otherwisc. The research descr ibes the fight against money laundering in Ethiop ia, analyses the gaps sti ll remain ing between Ethiopia and internationally accepted standards and points out the futurc efforts to be made in general and from the banking perspective in particular. Findings: Ethiopia has madc a remarkable progress in fight ing money launder ing activities; gaps however are still remain ing and further efforts should be made to avoid the lacunae in the anti money laundering laws ofthc co untry as rccommendcd. Originality/ Value: the research presents a comprehensive analysis and comment on the new anti money laundering law of the country which would be beneficial to policy makers, relevant adm ini strators and to the banking sector. Research Limitation: the fact that the anti money laundering law is new and the required organs are under estab li shment, it becomes impossible to eva luate the law from pragmatic approach which constitutes an issue for furth er rescarch. Freedom of information is also another chronic challenge to the write r. Key Words: Money Laundering, Ethiop ia, Banking sector. Paper Type: Resea rch Paper

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Keywords

Money Laundering, Ethiopia, Banking sector, Paper Type, Resea rch Paper

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