AFI participated in the Eastern and Southern Africa Anti-Money Laundering Group’s (ESAAMLG’s) meeting in Arusha, Tanzania on 16 April. During the meeting, ESAAMLG both finalized its workplan and nominated country representatives.

AFI has been given an ongoing role in facilitating ESAAMLG’s work on financial inclusion and, more specifically, assisting with the group’s goal will of strengthening linkages between financial inclusion regulations and the private sector.

The foundation for the ESAAMLG meeting in Arusha was set when, at its Mauritius meeting in early 2012, the Financial Action Task Force (FATF) considered a briefing note on “Promotion of Financial Inclusion and Integrity in the Eastern and Southern Africa Anti Money Laundering Group Region” which was prepared by AFI and the ESAAMLG Secretariat. The FATF approved the briefing note, and a three year work program to be undertaken from 2012 until 2015. The Task Force also agreed to the creation of an ad-hoc Working Group to address the challenges of balancing financial integrity and financial inclusion, with the support of AFI.

ESAAMLG’s proposed program of activities for 2012-2013 includes undertaking a survey to collect data from the private sector on the challenges it faces in providing financial services to the low-income sector. This data will form the basis for an analysis of challenges that the region’s private sector faces in promoting financial inclusion and upholding the integrity of the financial sector, particularly in terms of its obligation to implement FATF standards.

ESAAMLG was created under a three-fold mandate: to raise the priority of pursuing financial inclusion at a policy level among its member countries; to promote acceptance of the complementarities between financial inclusion and financial integrity among the policy makers in ESAAMLG members; and to raise awareness of the flexibility available in international standards on combating money laundering and terrorist financing to allow the policy makers to engage more in financial inclusion without feeling restricted.