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conflict countries

Social media: Using our voice to end adversity

Bassam Sebti's picture
When was the last time you used your mobile phone camera? Yesterday, this morning, or a few minutes ago? How did you use it? To snap a photo of your child or pet, or maybe to identify a problem in your community to bring it to public attention?
 
Have you ever thought that your camera phone can actually capture more than the ordinary? Did you know that with just one snap you might be able to save lives and lift people out of hardship and poverty?
 
Yes, you can! At least one stranger in downtown Beirut believed so.

 

Anti-Money Laundering Regulations: Can Somalia survive without remittances?

Sonia Plaza's picture

Remittances have been the main source of foreign exchange supporting Somalia during the conflict for the last twenty years. A recent IMF fact-finding mission to Somalia found that about $2 billion in remittances are handled by money transfer companies. These companies are located throughout the country and they are providing shadow banking services since there are no licensed commercial banks. Somalis called this system “xawilaad” which is the Somali rendering of the Arabic word “hawala”.

Since the events of September 11, 2001, many countries have adopted stringent Anti-Money Laundering and Combatting the Financing of Terror (AML-CFT) regulations for funds transfers. Several banks in the US (Wells Fargo, US Bank, the TCF bank, and Sunrise Community Bank) and in the UK closed the accounts of money services business to avoid incurring in penalties for not complying with the new regulations. (Note: HSBC was fined $1.9 billion for not complying with money laundering controls in 2012.)