US Report Cautions Botswana For Money Laundering and Illicit Financing

Finance and Trade
27/04/2015 12:36

According to the Sunday Standard, a recent US State Department report on international narcotics trafficking cautions that Botswana may be sitting on major terrorism risks because of insufficient infrastructure to address money laundering and terrorism financing. The report recognizes the stringent institutional framework for the mining and processing of diamonds affords limited opportunity for organized diamond smuggling or smuggling related to money laundering or crime, but points out that following the relocation of De Beers’ Diamond Trading Company from London to Gaborone, the growth of wholesale and retail diamond companies setting up businesses in Botswana present an increased risk of money laundering and illicit financing activity.