Summary
Following the recent high-profile billion-dollar money laundering case in Singapore, the Monetary Authority of Singapore (MAS) has released an updated Money Laundering National Risk Assessment (ML NRA). This report underscores the severity of fraud and scams and the evolving threats Singapore faces. It highlights the growing complexity of financial crime and a rise in interconnected global typologies like environmental crime, modern slavery, and tech-enabled fraud, which are increasingly exploiting the nation's advanced financial system to illicit funds.
The ML NRA identifies several key areas of concern that drive ML in Singapore:
The report also identifies sectors that are most vulnerable to ML:
The key next steps are for financial institutions (FIs) and DNFBPs to sensitise themselves to the interconnected nature of ML risks and threats, while leveraging ML NRA guidance to enhance detection and keep pace with the priority and emerging risks. This allows FIs and DNFBPs to take the appropriate preventive measures, allowing for timely detection, disruption, and enforcement against illicit activities.
It is also pertinent for these organisations to understand the importance of investing in the right data and technology solutions that can automate ML workflows, analyse vast amounts of data, and identify suspicious patterns more effectively. This allows them to support their anti-money laundering (AML) compliance efforts and reinforce policy changes to prevent and detect ML and the exploitation of Singapore's financial system.
For more information on how your organisation can ensure a robust AML environment, speak with our experts.