CAL will get acquainted with the risk assessment of national NGOs prepared by Financial Intelligence Unit
13.10.2020

Today, on 13 October, Kristīne Zonberga, Director of the Civic Alliance - Latvia, and Artis Zaļuksnis, Policy Coordinator, will participate in a meeting organised by the Financial Intelligence Unit (FIU), during which the FIU's National Assessment of Risks of Money Laundering and Financing of Terrorism and Proliferation for 2017-2019 will be presented that also includes a section on the financial risks of non-governmental organisations.

During the presentation, information on the conclusions of the national threats, vulnerability and risk assessment will be provided, as well as the most significant events in the Latvian financial sector related to the issues within the FIU competence and the next steps in eliminating the risks identified in the report will be discussed with the parties involved.

The previous FIU report on the non-governmental sector was published in 2019, which reflected a number of financial risks. The report was criticised by the non-governmental sector for lack of specificity, including the existence of individual organisations that allegedly abused the status of NGOs, thus casting a shadow over the sector as a whole. It has also had a negative impact on NGO cooperation with banks, making NGOs high-risk customers.

Within a year and a half, the Civic Alliance - Latvia has been explaining the specifics of NGOs to the responsible authorities, held meetings, participated in public discussions, as well as sent opinions calling for better monitoring of the non-governmental sector and guidelines for banks to include specific criteria for associations and foundations recognizing that there are significant differences from commercial enterprises. So far, it has been confirmed that objections and suggestions will be taken into account.