The growing problem of money laundering in Tanzania: the effectiveness of countermeasures

Money laundering has been and continues to be one of the overarching problems which threaten not only the integrity of institutions but also the existence of mankind. Throughout history, warring against this crime has never been a simple endeavour as money launderers tend to adapt to the changing circumstances and resort to more complex typologies which make money laundering a complex and clandestine offence difficult to detect, investigate and prosecute. At the epicentre of global anti-money laundering framework are the measures intended not only to prevent and prohibit the commission of this offence but also to retrieve any proceeds, benefits or instrumentality originating from this crime. In implementing such measures Tanzania put in place laws and institutions designed to combat money laundering in line with the proposed international standards. Despite this development, money laundering remains to be the devastating problem in the country without any sign of reduction. This work has established that the existing anti-money laundering regime does not sufficiently address some geographic specific issues relating to money laundering. Again, some key players in the fight against this crime lack adequate expertise to deal with modern forms of this crime thereby paralyzing the effectiveness of the regime. The study therefore recommends a more robust regime that will address issues that are country specific, more independence to the agencies vested with power to combat the crime and capacity building to such agencies to enhance their effectiveness.