Third Review of Enhancing the Asian Development Bank’s Role in Combating Money Laundering and the Financing of Terrorism

Abstract

1. The Board of Directors of the Asian Development Bank (ADB) adopted the policy on combating money laundering and the financing of terrorism on 1 April 2003. The policy calls on ADB to (i) assist developing member countries (DMCs) in establishing and implementing effective legal and institutional systems to combat money laundering and the financing of terrorism (ML/FT), (ii) increase collaboration with other international organizations, (iii) strengthen internal controls to safeguard ADB funds, and (iv) upgrade ADB’s staff capacity. 2. As required by the policy, a review of its implementation was carried out in 2008, covering activities from April 2003 to March 2008. The ensuing information paper, Review of Enhancing the Asian Development Bank’s Role in Combating Money Laundering and the Financing of Terrorism, was circulated to the Board in April 2008.2 The paper also envisaged a periodic review of ADB’s work under the policy, taking into account developments in international law and standards as well as demand from its DMCs. 3. A second review of policy implementation was carried out in 2012, covering activities from April 2008 to September 2012. The ensuing information paper, Second Review of Enhancing the Asian Development Bank’s Role in Combating Money Laundering and the Financing of Terrorism, was circulated to the Board in November 2012.4 The present paper is on the third review, covering ADB’s activities under the policy from October 2012 to June 2017.