Uniting Against Illicit Finance: The Power of Partnerships in West Africa’s AML/CFT Fight

Money laundering and terrorist financing continue to cast a long shadow over the future of West Africa, threatening democratic systems, economic growth, and regional stability. Despite extensive interventions by governments and international agencies, criminal actors are proving highly capable at maneuvering through regulatory loopholes, exploiting cross-border systems, and evading weak enforcement structures. As financial crime grows more complex, a new movement is taking shape—one that emphasizes the value of strong partnerships between civil society, policymakers, and global development actors.

At the center of this evolution is the Inter-Governmental Action Group against Money Laundering in West Africa (GIABA), a specialized ECOWAS institution that has become a catalyst for capacity-building, policy advocacy, and collaborative governance. GIABA’s efforts reflect a broader realization: resilient partnerships, sufficient funding, and genuine community engagement are now the region’s most effective arsenal in the ongoing struggle against illicit finance. This article delves into the legal and institutional foundations underpinning West Africa’s AML/CFT ecosystem, the role of civil society, and the prospects for sustainable progress.

The impact of money laundering in West Africa is inextricably linked to a range of systemic vulnerabilities—weak border control, cash-heavy economies, and shortcomings in banking oversight. Criminal and terrorist groups exploit these systemic gaps to move and disguise illicit wealth, often working across national boundaries. Recognizing the growing danger, GIABA was created in 2000 with a clear mission: to strengthen AML/CFT frameworks and promote cooperation among ECOWAS member states. Modeled after the Financial Action Task Force (FATF), GIABA conducts mutual evaluations, supports legal reforms, and facilitates member state dialogue in its role as West Africa’s regional FATF-style body.

In recent years, GIABA has expanded its approach, embracing a more inclusive strategy that brings civil society into the fold. “Civil society organizations (CSOs) are uniquely positioned to reach grassroots communities, raise awareness about the dangers of money laundering, and hold public officials accountable,” GIABA states. These organizations have become instrumental in advocating for policy reforms and ensuring that AML/CFT measures are not merely formalities but tools for meaningful change.

GIABA’s upcoming 2025 initiative, which earmarks $300,000 for twelve CSOs across the region, is a notable example of this strategy in action. By supporting advocacy focused on asset recovery, transparency in beneficial ownership, and financial education, the initiative aims to cultivate local leadership and foster conditions where all sectors of society actively contribute to combating illicit financial flows.

This movement is unfolding alongside a rapidly evolving legal landscape. All ECOWAS countries are mandated to align their national laws with the FATF’s 40 Recommendations and international instruments like the UN Convention against Transnational Organized Crime and the International Convention for the Suppression of the Financing of Terrorism. Legislative changes have been taking place across the region to meet these commitments.

Nigeria’s Money Laundering (Prevention and Prohibition) Act 2022 and the Terrorism (Prevention and Prohibition) Act 2022 introduced stronger provisions for Know Your Customer (KYC), Customer Due Diligence (CDD), and asset confiscation, while expanding oversight over non-profit organizations. In Ghana, the Anti-Money Laundering Act, 2020 (Act 1044) established new mandates for beneficial ownership reporting and required more rigorous oversight by financial institutions. Meanwhile, countries like Senegal and Côte d’Ivoire have been working through the West African Economic and Monetary Union (WAEMU) to align their AML/CFT standards, particularly for remittance and cross-border financial services.

However, progress has not been without setbacks. GIABA’s most recent mutual evaluations reveal recurring deficiencies—enforcement remains inconsistent, Financial Intelligence Units (FIUs) are chronically underfunded, and asset recovery rates are low. Institutional coordination is often undermined by political interference and corruption. These are precisely the gaps that CSOs are increasingly stepping in to address, not just as external watchdogs, but as collaborative partners in training, research, and public outreach.

Across the region, CSOs are pushing boundaries in innovative ways. They lead awareness campaigns, create platforms for whistleblowers, and build community-level channels for reporting suspicious activities. Through school programs, town hall meetings, and media engagement, they help citizens understand the societal cost of illicit finance. Many work closely with lawmakers and regulators to push for reforms, including transparency in procurement and public asset declarations.

“By working closely with lawmakers and regulators, CSOs advocate for the adoption and enforcement of international AML/CFT standards, pushing for transparency in public procurement and asset declarations,” the article notes. These organizations also take a frontline role in identifying new risks, such as the use of mobile money by terrorist networks and evolving digital fraud schemes. Many CSOs now offer specialized training to journalists, lawyers, and community leaders, equipping them with skills to detect and report illicit activity.

GIABA’s funding efforts are designed to amplify this work, creating a multiplier effect that fosters faster innovation and broader reach than traditional government enforcement strategies. “Instead of isolated enforcement actions, the region is now seeing the emergence of networks—partnerships that can pool resources, share information, and innovate faster than criminal groups can adapt.”

Still, the road ahead is complex. West Africa’s economies depend heavily on informal financial systems, including mobile transactions, which can challenge traditional AML/CFT compliance frameworks. Policymakers face a difficult balancing act: protecting financial inclusion while maintaining adequate risk controls. Cross-border collaboration also remains a challenge, particularly given the prevalence of informal value transfer systems like hawala. Coordinated investigations and intelligence-sharing mechanisms are still limited.

Technological gaps further constrain the region’s response. Many FIUs and enforcement agencies operate without adequate digital tools, case-tracking software, or access to real-time data. This technological lag severely limits the ability to uncover and investigate sophisticated money laundering operations. Moreover, while support from international donors remains vital, long-term progress will depend on national commitment. Governments must allocate their own resources and invest in the institutional infrastructure needed for lasting impact.

Yet there are reasons for optimism. Community-based engagement and CSO participation are creating feedback mechanisms that help improve policy in real time. Emerging technologies—including digital identity systems and mobile payment tracking—offer tools to manage financial risk while expanding access. And as GIABA continues its peer review processes, countries are increasingly held to account through FATF-aligned evaluations and scorecards.

As the article concludes, “Tackling money laundering in West Africa is not simply a matter of passing new laws or setting up task forces. It demands a fundamental change in how all parts of society work together.” GIABA’s approach—supporting CSOs, encouraging government collaboration, and investing in training and technology—points the way forward.

“Sustainable progress will depend on expanding these partnerships, closing regulatory gaps, and ensuring every stakeholder—from government officials to local activists—has the tools and resources to play their part.” The future of West Africa’s AML/CFT regime lies in cooperation, transparency, and shared responsibility. Only through a united front can the region hope to secure a safer, more resilient financial system.

By fLEXI tEAM