KATHMANDU: Nepal Rastra Bank (NRB) Governor Dr Biswo Nath Poudel has said that although Nepal’s inclusion in the Financial Action Task Force (FATF) grey list is challenging, it should be taken as a major opportunity to strengthen the country’s anti-money laundering (AML) mechanism.
Speaking at an international conference on anti-money laundering and combating the financing of terrorism (AML/CFT) organised by the NRB’s Anti-Money Laundering Prevention and Supervision Department, Governor Poudel said the development also offers an opportunity for institutional reform.
“This has taught us the lesson that our internal mechanisms must be strengthened, made more transparent, and aligned with global standards,” he said.
Poudel noted that financial crimes carried out using advanced technologies are on the rise, underscoring the need to equip supervisory mechanisms with adequate resources and capacity.
“We cannot wait for problems to arise and respond only after incidents occur. We must be prepared in advance,” he said, stressing the importance of proactive measures.
Highlighting the growing misuse of legal loopholes to commit financial irregularities and crimes, the Governor urged all stakeholders to remain vigilant. He also warned that funds which should be invested in critical sectors such as health and education are instead being diverted to tackle such crimes, deepening social and economic disparities.
The conference, which runs until Thursday, has brought together central bank officials from Nepal, India, Sri Lanka, Bangladesh and Mongolia.
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