A recent report by Studies & Economic Media Center (SEMC) showed the spread of money laundering in Yemen due to the war that has been going on for seven years and the disruption of the anti-money laundering system during the years of war.
The report showed the aspects of money laundering that emerged as a result of the war, such as unlicensed exchange companies, exploiting the unregulated real estate market, oil trading, smuggling money abroad, seizing the money of political opponents, and the multiplicity of factions and parties to the war.
The report has shed light on various aspects and methods of money laundering and terrorist financing, and its negative effects and consequences on the Yemeni economy, on financial and monetary policy, and on the reputation of the banking sector, in addition to the leakage of cash outside the monetary cycle.
The report comes as part of a series of periodic economic bulletins issued by the Center. The recent report focused on the aspects of money laundering in Yemen and its economic, social and humanitarian risks, undermining monetary policy, expanding the process of recycling illegal money and creating special illegal and unlawful ports.
The report concluded that the ongoing war in Yemen and the resulting division in authorities, policies, resources and public institutions led to the disruption of the anti-money laundering and terrorist financing system, damaging the legal and legislative system of money laundering managed by coherent official institutions.
The war and multicity of warring parties also have contributed to the spread of the process of recycling illegal money and creating special illegal and unlawful ports.
The report called for the need to rebuild the anti-money laundering system in Yemen and activate its role in monitoring and limiting money laundering operations, including raising the efficiency of control by the anti-money laundering and terrorist financing units in the Central Bank and Yemeni banks, as well as the unit for collecting information on combating money laundering and terrorist financing.
It is noteworthy that the Studies & Economic Media Center is a non-profit NGO working for rehabilitation and awareness of economic issues, promoting transparency, engaging citizen in decision-making, creating professional media, empowering youth and women economically and promoting their role in peacebuilding.