UAE And Bahrain Sign Memorandum Of Understanding To Enhance Cooperation Against Financial Crime

The UAE and Bahrain have taken a significant step towards combating financial crime by signing a Memorandum of Understanding (MoU). This agreement was formalised during the 41st Plenary Meeting of the Middle East and North Africa Financial Action Task Force (MENAFATF). The MoU aims to enhance cooperation in tackling money laundering, terrorist financing, and related offences.

Hamid AlZaabi, Secretary-General and Vice Chair of the UAE National Committee, and Shaikha May bint Mohamed Al Khalifa, Chief Executive of The Financial Intelligence National Center in Bahrain, signed the agreement. AlZaabi stated, "This agreement reflects the shared vision of the UAE and Bahrain to build a more coordinated, resilient, and effective regional response to financial crime."

The MoU sets a formal framework for improved coordination between the two nations. It focuses on operational, technical, and policy collaboration. This aligns with their joint presidency goals for MENAFATF in 2026. The partnership is expected to bolster institutional cooperation and advance anti-money laundering (AML) and counter-terrorism financing (CFT) efforts.

Shaikha May bint Mohammed Al Khalifa remarked on the importance of this initiative: "Recognising the importance of strengthening our efforts to combat money laundering and terrorist financing... we believe that this step will reinforce our joint cooperation." The agreement underscores transparency and integrity as key principles.

The MoU outlines several areas for collaboration. These include exchanging knowledge and best practices in policy, supervision, and enforcement. Both countries will develop joint training programmes and work on regulatory tools aligned with FATF Standards. This comprehensive approach aims to enhance their ability to address financial crimes effectively.

Additionally, the agreement facilitates sharing case studies on cross-border financial crime. It also includes conducting joint research and publications. Establishing task forces to tackle emerging risks is another critical component. These measures aim to strengthen national resilience against illicit financial flows.

Monitoring Progress

Regular consultations between the UAE and Bahrain committees are part of the MoU's provisions. These meetings will monitor implementation progress and explore new cooperation opportunities. Both parties have reaffirmed their commitment to supporting MENAFATF's Secretariat.

The MoU also highlights their dedication to contributing to MENAFATF’s third round of mutual evaluations. This ongoing commitment ensures that both nations remain at the forefront of regional efforts against financial crime.

This collaborative effort between the UAE and Bahrain marks a significant advancement in regional security measures against financial crimes. By working together, they aim to create a more robust framework for combating these challenges effectively.

With inputs from WAM