Typologies
REPORT OF NIGERIA NATIONAL RISK ASSESSMENT ON MONEY LAUNDERING AND TERRORIST FINANCING
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The prospect of Nigeria and its huge economic potentials is not without challenges, as proceeds from Advance Fee Fraud, armed robbery, arms trafficking, banking fraud, bribery and corruption, capital market fraud, counterfeiting of currency, currency trafficking, drug trafficking, fraud and forgery, human trafficking and sexual exploitation, kidnapping and hostage taking, pipeline vandalism and illegal oil bunkering, piracy and copy rights infringement and
smuggling all constitute major sources of illicit proceeds and source of financing terrorism in Nigeria. Money laundering in Nigeria takes many forms. Perpetrators launder money through real estate investment, wire transfer to offshore banks, deposits into foreign banks, round tripping, reselling imported goods, such as luxury or used cars, textiles, and consumer electronics purchased with illicit funds, jewelries as well as bulk cash smuggling. Consequently, Nigeria in her effort to rise above the foregoing menace, successfully conducted its first National Money Laundering and Terrorist Financing (ML/TF) Risk Assessment (NRA) in 2016. The assessment was also in response to recommendation 1 of the Financial Action Task Force (FATF)’s 40 recommendations which, requires all countries to identify, assess and understand the money laundering and terrorist financing (ML/TF) risks elements prevalent in their jurisdictions for the development of efficient measures to combat the crime and efficient allocation of scarce resources to do the same. The Nigeria Financial Intelligence Unit (NFIU) in consideration of its strategic role as the national agency responsible for the coordination of Anti- Money Laundering and Combating the Financing of Terrorism (AML/CFT) matters in the country, coordinated and led the process under the auspices of Nigeria’s AML/CFT Inter-Agency Ministerial Committee (IMC).
2016