Combatting Money Laundering: Lebanon's Efforts in the Cash Economy

A report by Bassam Abou Zeid, English adaptation by Nadine Sassine 

Since the start of the economic crisis, the collapse of the banking sector, and the loss of confidence in it, Lebanese citizens have turned to the cash economy, meaning dealing entirely in cash.

We all know that this creates an environment conducive to money laundering and terrorist financing. 

 

Those involved in such activities try to exploit the banking sector to facilitate them. 

 

The Banque Du Liban (BDL) is aware of this reality and considers the banking sector the first line of defense against such operations. 

 

Therefore, it provided the security of exchange dealers in both categories, "A" and "B," with training on how to prevent the entry of suspicious money into the financial and cash sectors in Lebanon.

 

The training, conducted in collaboration with the Special Investigation Commission and Financial Action Task Force experts, emphasizes the need to fully identify the client, the volume of cash they are dealing with, and the source of funds with documentation. 

 

It also stresses communication among exchange dealers when there is suspicion of any transaction and the retention of all data related to each transaction.

 

Acting Governor of the BDL Wassim Mansouri spoke to exchange dealers about the importance of implementing these techniques to protect the financial and cash situation.

 

He pointed out that when the Bloomberg platform launches, it will enhance the position of legitimate exchange dealers.

 

 In return, exchange dealers affirmed their commitment to all anti-money laundering and counter-terrorist financing standards. However, they complained that illicit exchange dealers provide a corridor for such operations and demanded enhanced measures to combat them.