With the growth of financial services in Ukraine, financial crime threats have become more and more important for Ukraine. Money laundering, corruption and other financial crimes have been a headache for Ukraine from past to present. In recent years, Ukraine has taken effective steps to ensure global AML compliance with AML regulations developed with the European Union and FATF recommendations. Ukraine is also a member of MONEYVAL. Accordingly, the State Financial Monitoring Service was established to detect and prevent financial crimes. The State Service for Financial Monitoring of Ukraine ("SSFM") is a specially authorized agency in the area of financial monitoring, guided and coordinated by the Ukrainian Council of Ministers. Financial institutions are required to report suspicious transactions to the State Financial Monitoring Service.
• Implementation and development of state policies on the prevention of money laundering and terrorist financing.
• Examine and analyze suspicious transactions.
• Cooperation with local and national authorities in the fight against financial crimes.
• The representation of Ukraine in the international arena in the AML field.
According to the AML regulations in Ukraine, financial institutions have to apply a risk-oriented approach to customers. The financial institution must investigate information about the customer and analyze the financial transactions of the customers. Firms must report transactions of customers over UAH 150,000. Firms must control financial transactions between the sender and the recipient. The high threat of corruption in Ukraine poses significant commercial risks for foreign investors.
There are a number of state-level regulators set up to combat financial crime in Ukraine. Regulators in Ukraine detect financial crimes by examining suspicious transaction reports from financial institutions.
• National Bank of Ukraine
• The State Service for Financial Monitoring Service
• Ministry of Finance of Ukraine
• Ministry of Justice of Ukraine
• Ministry of Infrastructure of Ukraine
• Ministry of Economic Development and Trade of Ukraine
• Ministry of Revenue and Duties of Ukraine
• National Commission for Securities and Stock Market
• National Commission for Financial Services Regulation of Ukraine