An analysis of the Effectiveness of Anti-Money Laundering and Counter Terrorist Funding Legislation and its Administration in the UAE

This doctoral thesis develops a methodology to assess the effectiveness of anti money laundering and counter-­‐financing of terror efforts in the United Arab Emirates by applying five “markers of success” (as determined by AML/CFT professionals) to the UAE’s AML/CFT framework. The markers are Robust Regulatory Framework; AML Legislation Enforcement; AML Legislation Awareness; Private Sector Commitment and Cooperation; and Transparency. The analysis chapters attempts to measure these criteria using a variety of sources, including UAE laws of 2002 and 2004 and their amendments and replacements of 2014; various regulatory documents and policies enacted by the UAE Central Bank and other UAE bodies; expert opinion when available; and other materials from both official bodies and the country’s media. The findings show generally uneven progress and sometimes-­‐inconclusive results. During this period, the UAE, driven by external pressure coupled with internal self-­‐interest, established an AML/CFT regime. As part of its AML/CFT framework, the UAE also created an outreach program via official bodies, and there is some evidence of its effectiveness in encouraging private sector compliance. However, measuring enforcement is problematic given the lack of hard and publicly available statistical data for much of this period. Efforts made to encourage a culture of transparency and accountability have run up against limited availability and accessibility of data. Accordingly, the UAE remains perceived as a largely non-­‐transparent jurisdiction when it comes to financial crimes. Recent (2016) legislative developments underscore the UAE’s effort to change this, as it is due for a new FATF evaluation in 2019.