Illicit financial flows (IFFs) are eroding the rule of law, governance and state institutions in the Western Balkans. IFFs hinder the economic development of the region, because they deprive the legal economy of the resources necessary for sustainable development, investments in infrastructure, health, schools, social assistance and public security.
There appears to be limited understanding and awareness of IFFs in the region among stakeholders, including government officials, civil society and the private sector. There is little data available on IFFs in the Western Balkans and government information on the subject is difficult to access. The mutual evaluation reports of the Financial Action Task Force and the Committee of Experts on the Evaluation of Measures to Combat Money Laundering and the Financing of Terrorism (FATF/MONEYVAL) provide a good overview of the main vulnerabilities of each country in the region. However, they are technical, lengthy and are not regularly updated.
With the support of the German Agency for International Cooperation (GIZ), the Global Initiative against Transnational Organized Crime coordinates the project “Combating illicit financial flows in the Western Balkans”. One of the key components of the project is the design of an online IFF awareness tool; provide information on issues highlighted in the FATF/MONEYVAL mutual evaluation reports; monitor the implementation and effectiveness of government measures; highlight the role that civil society can play in combating IFFs and provide concrete policy recommendations.
To discuss the initiative’s methodology and create a user-friendly tool with relevant information, we are holding online consultative meetings with different stakeholder groups. On May 24, 2023, we will have a consultative meeting with stakeholders from the university community. If you are an academic interested in IFFs or a researcher working on this topic, this is an opportunity to share your ideas and experience.