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AML CFT Framework

The fight against money laundering and terrorist financing in Zambia and around the world is important to protect our citizens and to ensure the integrity of financial institutions and national Security. Strong and effective Anti-Money Laundering and Financing of Terrorism (AML/CFT) framework promote financial integrity by making it difficult to conceal illegal activities.

On 2nd February 2023, the National Anti-Money Laundering (AML) and Countering Terrorism Financing and Proliferation Financing (CTPF) Policy was launched. The Policy outlines a statement by the Zambian Government that sets a clear direction for the effective combating of money laundering, terrorism financing and proliferation financing. The National Policy can be downloaded below.

The Zambian Government endeavors to develop and implement AML/CFT systems that comply with the required international standards. Below is the outline of the Zambian AML/CFT framework

AML/CFT INSTITUTIONAL FRAMEWORK

• Anti-Money Laundering Authority ( AMLA)
  This is the AML/CFT Policy making body established under Section 3 of the Prohibition and Prevention of Money Laundering Act, No 14 of 2001, amended Act, No. 44 of 2010.
  The AMLA is chaired by the Attorney General, and other members include; the Governor-Bank of Zambia, the Commissioner General of the Zambia Revenue Authority (ZRA), the Inspector General of Police, the Commissioner-Drug Enforcement Commission (DEC), the Director General-Anti Corruption Commission (ACC). The mandate of AMLA is to provide general or specific policy directives and to advise Government on measures required to prevent and detect money laundering in the Republic of Zambia.
• Task Force of Senior Officials on AML/CFT matters
  The Zambia Government is cognizant about the importance of coordination among key stakeholders for the effective functioning of the AML/CFT framework. For this reason, Cabinet Office set up the National Task Force of Senior Officials on AML/CFT. The overall mandate of the National Task Force of Senior Officials is to coordinate AML/CFT matters among key stakeholders with a view to improving the effectiveness of existing policies to combat money laundering, financing of terrorism and other serious offences.
• The Financial Intelligence Centre (‘the Centre’)
  The Financial Intelligence Centre was established to be the sole designated  agency responsible for the receipt, requesting, analysing and disseminating of the disclosure of suspicious transaction reports to Law Enforcement Agencies (LEAs) and other foreign designated authorities pursuant to the Financial Intelligence Centre Act No 46 of 2010 (“The FIC Act” or “the Act”). Further, it is the responsibility of the FIC to issue guidelines to reporting entities to ensure reporting entities comply accordingly with the provisions of the FIC Act.
  The Financial Intelligence Centre is governed by the Board of Directors appointed by the Zambian Republican President. The primary purpose of the Board is to guide and control the overall direction of the business of the FIC as provided for under section 8 of the Act, and provide policy oversight on AML/CFT matters.
• Law Enforcement Agency (LEAs)
  Section 2 of the FIC Act designates the following as Law enforcement Agencies (LEAs) in Zambia:
  i.    The Zambia Police Force, established under the Constitution;
  ii.    The Zambia Security Intelligence Service, established under the Zambia Security Intelligence Act;
  iii.    The Immigration Department, established under the Immigration and Deportation Act, 2010;
  iv.    The Drug Enforcement Commission, established under the Narcotic Drugs and Psychotropic Subsistence Act;
  v.    The Anti-Money Laundering Investigations Unit, established under the Prohibition and Prevention of Money Laundering Act, 2001
  vi.    The Anti-Corruption Commission, established under the Anti-Corruption Act, 2010;
  vii.    The Zambia Revenue Authority, established under the Zambia Revenue Authority Act; and
  viii.    Any other Investigative Institution that the Minister may, by statutory Instrument designate.
• Supervisory Authorities
  The FIC Act defines the Supervisory Authorities as:-
  i.    The Governor of the Bank of Zambia, appointed under the Bank of Zambia Act;
  ii.    The Registrar of Co-operatives, appointed under the Co-operatives Act, 1998;
  iii.    The Registrar of Pensions and Insurance, appointed under the Pension Scheme Regulation Act, 1996;
  iv.    The Commissioner under the Securities Act;
  v.    The Registrar appointed under the Patents and Companies Registration Agency Act, 2010;
  vi.    The Commissioner of Lands;
  vii.   The Zambia Development Agency, established under the Zambia Development Agency Act, 2006;
  viii.   The Licencing Committee, established under the Tourism and Hospitality Act, 2007;
  ix.    The Registrar of Estate Agents appointed under the Estate Agents Act, 2001;
  x.    The Law Association of Zambia, established under the Law Association of Zambia Act;
  xi.    The Zambia Institute of Chartered Accountants established under the Accountants Act, 2008 ; and
  xii.   Any other authority established under any written law as a supervisory or as the Minister may prescribe.
• Reporting Entities
  Reporting entities are institutions regulated by Supervisory Authorities and are required to make a suspicious transaction reports concerning Money Laundering, Terrorist Financing and any other serious offences to the Financial Intelligence Centre.
  Inter alia, reporting entities include:
  i.    Financial institutions e.g. Commercial Banks and Non-Bank Financial Institutions e.g. micro finance institutions
  ii.   Designated non-financial businesses and professions (DNFBPs)
  e.g. Casinos, Real estate agents, Accountants; and Legal Practitioners
• National Prosecution Authority
  The National Prosecution Authority (NPA) is one of the stakeholders in AML/CFT regime. NPA is the principal authority for all prosecutions in the country as it houses the Office of the Director of Public Prosecutions (DPP).  All prosecutors in Zambia derive their authority to prosecute from the DPP pursuant to section 82 of the Criminal Procedure Code, Chapter 88 of the Laws of Zambia.
• Judiciary
  The Judiciary is considered to be a relevant stakeholder on AML/CFT related issues as it provides efficacy to the process by being an impartial arbiter in proceedings.  All prosecuted cases and claims for forfeiture must come before the courts of law.
• Others Relevant Government Agencies
  The Office of the Auditor General, Ministry of Home Affairs, Ministry of Mines, Ministry of Defence, Zambia Air Force, and Registrar of Societies among others are considered very critical for the provision of intelligence Information on Money Laundering, Terrorist Financing and other serious offences

AML/CFT Legal Framework

The Zambian Government has enacted AML/CFT legislation, to deal with money laundering, Financing of Terrorism, forfeiture and seizure of proceeds of crimes, prevention of corruption, fraud, and financial crime among others.

The AML/CFT legal framework covers inter alia the following Legislation:

i.    Prohibition and Prevention of Money Laundering Act No 14 of 2001, amended Act No. 44 of 2010 (Defines and criminalizes Money laundering)
ii.    Anti-Terrorism Act No 21 of 2007 (Criminalizes financing of terrorism (section 20);
iii.    Forfeiture of Proceeds of Crime Act No 19 of 2010 (Provides civil and criminal forfeiture and seizure of proceeds of crimes);
iv.    Financial Intelligence Centre Act No 46 of 2010 (Establishes the Financial Intelligence Centre, provides for duties of supervisory authorities and reporting entities)
v.    The Public Interest Disclosure (Protection of Whistleblowers) Act No. 4 of 2010 (Provides for disclosure of conduct inimical to public interest)
vi.    Mutual Legal Assistance in Criminal Matters Act (MLACMA), 1993
vii.   The Plea Negotiations and Agreements Act, No. 20 of 2010;
viii.   The Anti-Corruption Act, No. 3 of 2012 (replacing the Anti-Corruption Act, No. 38 of 2010) ( vested with powers to investigate corruption offences
ix.    The Non-Governmental Organisations Act, No. 16 of 2009; and
x.    The Penal Code Act, Cap. 87 of the Laws of Zambia.

latest Running | Jun 21, 2021 White Oreo Tech Grey CT8527-100 Release Date - SBD

Attachments:

National AML_CTPF Policy.pdf

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Publications

Second National Risk Assessment - 2025 

Trends Report - 2024

FIC Strategic Analysis

De-Risking Directive

Trends Report - 2022

Cost of Compliance Survey

TBML Report 2022 

Trends Report - 2021

Cautionary Statement 

Typology Report - 2020 

Targeted Financial Sanctions 

Financial Inclusion AML/CFT 

Trends Report - 2019

Regulatory Guidelines COVID19

Virtual Assets

Whistle Blowers

Mutual Evaluation 

FIC Press Release 

Mutual Evaluation

Trends Report - 2018

Zambia Admitted To Egmont

UNSCR Sanctions List

Trends Report - 2017

National Risk Assessment - 2016

Trends Report - 2016

Notice on Regulations Prescribing Thresholds

Trends Report - 2015

Director's KEY NOTE ADDRESS - IFF March 2015

Director's Talking Points- RBA April 2015

Trends Report - 2014

Annexure A 1267 Committee List

FATF High Risk Jurisdictions

NRA Official Launch

Attachments:

2019 Annual Report	[ ]
2021 Annual Report	[ ]
2020 Annual Report	[ ]
2022 Annual Report	[ ]

Seminars

One of the functions of the FIC is to inform the public and reporting entities of their obligations and measures that have been taken to detect, prevent and deter money laundering and financing of terrorism. To achieve this function the FIC holds seminars about Anti Money Laundering, Combating the Financing of Terrorism (AML/CFT) frameworks and an understanding of techniques used to launder funds.

Some of the Anti-Money laundering and Countering the financing of Terrorism awareness and training programmes conducted by the financial intelligence centre since the institution became operational in September 2013 are listed below. 

 Workshops conducted during the Secretariat 

Guidelines

The Guidelines seek to explain the common reporting situations under the Financial Intelligence Centre Act and assist the Financial Institutions and other designated business and professions be in compliance with the Act. The STR Guidelines are provided as general information only and as such does not represent all the requirements under the law as the obligations imposed by the Supervisory Authorities. To this effect, the  Guidelines do not constitute legal advice and are not intended to replace the FIC Act or any other guidelines, directives or regulations issued by Supervisory Authorities for the Reporting Entities. Therefore, a Reporting Entity should also consult with its respective Supervisory Authority.

Sector Specific Guidelines 

Following the development of sector specific suspicious transactions reporting (STR) guidelines, the Centre wishes to advise its stakeholders that the sector Specific STR guidelines have now been issued.

PEP Guidance Note

Section 19 of the Financial Intelligence Centre Act, No. 46 of 2010 (“the Act”) provides for High Risk Customers. In Zambia, Politically Exposed Persons (PEPs) are considered to be High Risk Customers.

The Guidance Note is intended to provide reporting entities with an overview of PEPs in Zambia and what AML/CFT measures apply to them. It is provided as general information only. It is not legal advice and not intended to replace the AML/CFT Acts.

Attachments:

Accountable institution Guidelines 2023.pdf	[ ]
Accountants Sector Guidelines 2023.pdf	[ ]
Accounting and Auditing Sector Reporting Guidelines 2019	[ ]
AML_CFT General Guidelines 2017	[ ]
Banking Sector Reporting Guidelines 2019	[ ]
Bureau de Change Reporting Guidelines 2019	[ ]
Capital Market Guidelines 2023.pdf	[ ]
Casino-Gaming Guidelines 2023.pdf	[ ]
Compliance Officer_Vetting Form_2020.pdf	[ ]
Dealers in PSM Guidelines 2023.pdf	[ ]
Guidance Note STR Reporting 2022	[ ]
Guidelines AML/CFT Policy 2020	[ ]
Guidelines_AML_CTPF Independent Audit_2021.pdf	[ ]
Guidelines_ML.TF.PF Risk Assessment_ 2021.pdf	[ ]
Insurance Sector guidelines 2023.pdf	[ ]
Law Firm Guidelines 2023.pdf	[ ]
Legal Professionals Reporting Guidelines 2019	[ ]
Ministry of Lands STR Guidelines 2015	[ ]
ML.TF Institutional Risk Assessment Template.pdf	[ ]
Motor Vehicles Sector Guidelines 2018	[ ]
NBFI Guidelines 2023.pdf	[ ]
NGO SECTOR GUIDELINES 2022.pdf	[ ]
NPO Sector Guidelines 2018	[ ]
PACRA STR Guidelines 2015	[ ]
PIP Guidance Note 2021.pdf	[ ]
Precious Stones Metals Sector Guidelines 2018	[ ]
Prescribed Thresholds	[ ]
Real Estate Sector Guidelines 2023.pdf	[ ]
Reporting Officers Vetting Form_.pdf	[ ]
STR Form	[ ]
TCSP Guidelines 2023.pdf	[ ]
VASP SECTOR GUIDELINES 2022.pdf	[ ]
ZDA STR Guidelines 2015	[ ]