Some countries in the region have begun to disclose the increasing risks of illegal financial flows which took place through some banking and financial institutions during the last period as a result of outbreaking the pandemic in the world. These conditions led to an increase in money laundering and terrorist financing operations as a result of the facilities provided by local banks to customers to conduct banking operations from homes.
The purpose was not to hinder the business of companies and individuals, many of whom depend on the transfer of money directly without going to banking institutions.
Some of these illegal financial operations have resulted in the entry of unauthorised persons to carry out such transfers through direct transactions or through electronic commerce requests that these transferred amounts are for import and export operations.
Consequently, this has resulted in an increase in the total commissions received by some of those with limited incomes in some Asian and African countries in return for the services they provided regarding money laundering without they being fully aware of the risks of these operations and their violation of local and international laws. This does not mean that small people are involved in violating laws, but there are big names which the relevant institutions follow, whether for people or companies as a result of large increase that occurred in their material funds, and the rise in their balances in banking institutions, real estate and fictitious commercial institutions.
Today, there is a continuous follow-up by all countries and relevant institutions in the central banks towards what is happening of some dirty money transfers in banking institutions in the region or abroad. This will lead to further improvement in laws and legislations to avoid the names of their institutions and banks in international forums.
Central banks in the region have been able to detect some operations and punish those involved over the past years, but these operations have witnessed great momentum since the beginning of 2020 as a result of the pandemic continuing for a long time, while those involved are trying to hide the illegal sources of funds transferred to them from external sources.
Money laundering operations have resulted in a significant increase in global electronic commerce during the last period, according French News Agency, so that this trade has become a major tool in money laundering. This is due to the limited ability to transfer funds and goods directly during the pandemic period, at a time when those illegal funds went to the accounts of some people in return for paying financial commissions to them.
The increase in these operations is also due to the exploitation of the capabilities of some in the world of technologies, the Internet and digitisation to commit fraud against some banking institutions to quickly transfer the funds to the accounts of the persons and companies concerned without discovering them.
The decisions to ban travel, home quarantine, and conduct business outside institutions have given criminals and money launderers an opportunity to make illegal gains and finance terrorist operations, which has led to a high rate of financial crimes in societies, and more oversight is needed in this regard.
