Arab Economies lose enormously due to Money Laundering
In accordance with the UAE’s Minister of Finance and Industry Dr Mohammed Khalfan bin Kharbash, money laundering has disastrous effects on the economies of Arab nations. This emphasizes the fact that Arab banks are lacking advanced technology and solutions for acquiring the necessary tools to better control operations and activities and, accordingly, combat this serious international crime.
Dr. Kharbash said that, according to recent studies, $5 billion worth of laundered money can cause losses worth up to $11.26 billion in GDP as well as loss of up to 250 000 jobs. The Minister reminded the fact that money laundering is ranked the 3rd highest yielding industry worldwide. It is preceded by foreign exchange and energy and accounts for about 5% of global GDP.
He said that the figures are staggering for the region. The warning by Dr. Kharbash seems to be useful for the public, especially before the summit scheduled on April 23, 2007, which will host top officials and representatives of 100 Arab banks. The event is aimed at highlighting the major challenges facing the banking sector in the Arab world.