Role of Financial Intelligence Unit in Combating Money- Laundering and Terrorist Financing: An Analysis on the Functioning of Bangladesh Financial Intelligence Unit

Abstract

Combating the crimes of money laundering and financing terrorism is essential to the integrity of financial systems. Recent efforts to develop effective strategies for anti-money laundering and combating the financing of terrorism (AML/CFT) bring together several distinct but related aspects of financial systems and criminal law. Financial intelligence units (FIUs) constitute an important component of these strategies. An FIU is a central national agency responsible for receiving, analyzing, and transmitting disclosures on suspicious transactions to the competent authorities. This paper briefly reviews the development of the global network of FIUs and their system of information gathering. This paper also looks back the overall functioning of the Bangladesh Financial Intelligence Unit (BFIU) keeping in line with the set international standards and gives recommendations on the areas to be improved to ensure its better functioning. This work is a theoretical analysis of the existing international instruments regulating the functioning of FIU worldwide and also the Bangladesh laws dealing with the working of Bangladesh Financial Intelligence UnitBFIU.