The Non-Profit Making Organisations (NPOs) and the Dilemma of Combating Transnational Crimes in a Digitalized Era
Emerging Perspectives of NPO Actors from Selected African Countries
DOI:
https://doi.org/10.59569/jceeas.2023.3.3.202Keywords:
anti-money landering, FATF, Not for Profit, Terrorism Financing, Transnational CrimesAbstract
The paper is premised on the argument that States may find themselves in a dilemma, as they seek to counter transnational crimes, more so and subjects of this paper, illicit money transfers/money laundering and terrorism financing, and doing so with great caution not to restrict the Not-for-Profit Organisations (NPOs) operations. anecdotal evidence suggests that NPOs are caught up as the unintended ‘victims’ of FATF Recommendation-8-based-regulatory and policy frameworks- particularly of the Anti-Money Laundering and Counter-Terrorism Financing. while this is so, there is a paucity of literature interrogating the impact of such regulatory and policy frameworks on the NPO sector, even with its uncontested contribution to development and the fight against terrorism. The paper argues that the Sector’s contribution to this important debate is essential for ensuring that they comply with the intended need to protect against terrorism and money laundering while also working in an environment that doesn't jeopardize their contribution to development. Drawing from some of the findings of a recent study undertaken by the Defenders Protection Initiative (DPI) focusing on 5 African countries, the paper revisits the discourse on NPOs and money laundering and terrorism financing presenting an overview of the state of civic space specifically, the operational environment of NPOs in East Africa as impacted upon by the AML/CTF regulatory frameworks. Tapping in the synthesized views of industrial experts (NPO Sector experts) on this matter consulted during the study, the paper unmasks the evolving dilemma of balancing the enforcement of the regulatory framework curbing transnational crimes on one hand and restraining State securitization of the NPO sector since it's prone to exploitation. The paper makes recommendations as emerged from the study aimed purposely at balancing the friction between the regulation of NPOs as against the need to fight terrorism financing and money laundering.
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