MONROVIA, Liberia – In a move hailed as a significant milestone for Liberia’s financial sector, the Central Bank of Liberia (CBL) and the Financial Intelligence Agency (FIA) signed a landmark Joint Directive on Additional Customer Due Diligence Measures. The directive aims to tighten safeguards against financial crimes, bolster compliance with global Anti-Money Laundering and Counter-Terrorist Financing (AML/CFT) standards, and reinforce the integrity of Liberia’s financial system.
At the signing ceremony, CBL Executive Governor Henry F. Saamoi framed the agreement as a clear demonstration of the institutions’ shared commitments to safeguarding the country’s economy. “This is a firm statement of our commitment to protect the financial system and safeguard the stability of our nation’s economy,” Saamoi said. He emphasized that Liberia’s increasingly complex financial landscape requires robust, proactive measures to guard against money laundering, terrorist financing, proliferation financing, and other illicit activities.
Key Elements of the Directive
The directive introduces enhanced due diligence requirements for non-residents and non-Liberians, including individuals and entities categorized as high risk and those engaging in cross-border transactions. It strengthens several core areas to tighten oversight and improve information flow between financial institutions and authorities, including:
- Beneficial ownership verification to ensure transparency about who ultimately controls legal entities
- Heightened scrutiny of politically exposed persons (PEPs)
- Risk-based monitoring of complex or high-risk transactions
- Robust recordkeeping and regulatory reporting
- Greater collaboration and information sharing between financial institutions and competent authorities
Saamoi underscored that the directive aligns Liberia with international FATF (Financial Action Task Force) standards and represents a united front between supervisory bodies and intelligence agencies. He lauded FIA’s leadership and the cooperation of financial institutions nationwide, stressing that safeguarding the financial system is a collective responsibility that extends beyond regulators to banks, mobile-money operators, insurers, remittance providers, and designated non-financial businesses.
A Culture of Compliance and Resilience
“The directive signals a cultural shift toward compliance as a professional standard,” Saamoi said. He encouraged financial institutions to integrate the new measures into everyday operations, not as a checkbox exercise but as a core aspect of risk management and customer service. The CBL and FIA also pledged to provide clear guidance, training, and support to institutions, complemented by supervisory assessments that are fair, risk-based, and transparent.
Implementation and Oversight
The Joint Directive establishes a framework for ongoing oversight and continuous strengthening of Liberia’s AML/CFT regime. Authorities will work closely with financial institutions to ensure effective implementation, with a focus on modernizing regulatory frameworks, improving information sharing, and investing in technology that supports enhanced monitoring and reporting. The goal is to fortify Liberia’s position in the global financial system while maintaining a conducive environment for legitimate business and economic growth.
Implications for Liberia’s Economy and Public Trust
Experts say the directive will bolster investor confidence by demonstrating Liberia’s commitment to transparent, well-regulated financial markets. Stronger AML/CFT controls help mitigate risks associated with illicit finance, support sustainable revenue collection, and improve Liberia’s standing with international partners and financial institutions. For the public, improved transparency and stronger governance can translate into more stable financial services, better risk management, and increased trust in the integrity of the system.
Looking Ahead
The signing marks the beginning of what officials describe as a new chapter of vigilance, cooperation, and regulatory excellence. As Liberia advances in implementing the directive, stakeholders across the financial sector can expect ongoing guidance, capacity-building, and enhanced collaboration with regulators to ensure that Liberia remains compliant with global standards while protecting the economy and citizens.
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