Kuwait City, September 8, 2025 — Experts and officials from Gulf Cooperation Council (GCC) member states gathered in Kuwait on Monday for a pivotal workshop aimed at drafting a unified GCC strategy to combat money laundering. The four-day event, running through September 11, is hosted by the Kuwaiti Ministry of Interior in cooperation with the GCC Secretariat and the United Nations Office on Drugs and Crime (UNODC) Regional Office. This workshop represents a major regional effort to strengthen security and regulatory cooperation among the six GCC countries: Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates (UAE).
Unifying Regional Efforts on Money Laundering
The primary goal of this initiative is to establish a comprehensive and unified strategic framework for combating money laundering and related financial crimes, in strict alignment with global standards set by the Financial Action Task Force (FATF) and the Middle East and North Africa FATF (MENAFATF). The unified GCC strategy is expected to build a foundation for enhanced cooperation among national security, judicial, regulatory, and financial authorities across the Gulf states.
Participating experts include senior officials from interior ministries, judicial authorities, regulatory bodies, central banks, and financial institutions within the GCC countries, alongside representatives from relevant international organizations. These stakeholders will collaborate on defining common protocols, regulatory harmonization, and strengthened mechanisms for information exchange.
Regional Leadership and Statements
His Excellency Mr. Jasem Mohamed Albudaiwi, Secretary General of the GCC, emphasized the importance of joint regional action to confront the growing risks of money laundering. He highlighted that all GCC states have already enacted national laws aligned with international anti-money laundering (AML) standards and are now focusing on consolidating these efforts regionally. He underlined that the GCC’s preparation of a joint Gulf strategy will “establish new foundations for cooperation to face this complex crime and elevate coordination with international partners”.
Mr. Albudaiwi further noted that global estimates indicate money laundering comprises between 2% and 5% of the world’s GDP, roughly translating to a staggering $800 billion to $2 trillion annually. Given the Gulf’s role as a global economic hub and its geographical position, the region remains vulnerable to exploitation by illicit financial flows. Closing regulatory loopholes is paramount to safeguarding the region’s security and economic integrity.
Kuwait’s Role and Commitment
The Kuwaiti Ministry of Interior, hosting the event, views this workshop as a crucial step to protect Gulf financial systems from vulnerabilities posed by money laundering and associated crimes. Kuwait has also enhanced its national AML/CFT (counter-financing of terrorism) laws this year, including introducing tougher penalties to ensure stronger deterrence.
Officials from Kuwait stressed the country’s active participation in global AML initiatives, including its membership through the GCC in FATF. The Central Bank of Kuwait plays a pivotal role in overseeing AML compliance within the banking and financial sectors. Kuwaiti authorities continuously submit periodic reports to international bodies on their AML efforts, demonstrating a steadfast commitment to international cooperation and transparency.
Technological and Regulatory Advances Across GCC
Across the GCC, countries have been upgrading their AML frameworks to counter increasingly sophisticated money laundering and terrorism financing schemes. This includes regulatory reforms, deployment of advanced technologies such as artificial intelligence for transaction monitoring, and blockchain analytics to trace cryptocurrency movements. Public-private partnerships have been encouraged to bolster suspicious activity reporting and capacity building in the financial sector.
The GCC continues to deepen international cooperation, participating actively in global networks like the Egmont Group of Financial Intelligence Units and signing bilateral agreements with key global partners such as the United States and the United Kingdom. This ensures swift intelligence sharing and coordinated efforts against money laundering networks.
Challenges and Forward Path
Despite clear progress, the GCC recognizes that money laundering remains a dynamic and complex threat with regional and global implications. Efforts to standardize AML laws across member states also face challenges due to varying national legal systems and enforcement capabilities. However, the workshop in Kuwait aims to harmonize these differences and foster a cohesive strategy that enables efficient cross-border collaboration.
Key outcomes expected from this workshop include drafting strategic policies that bolster financial transparency, enhance investigative and prosecutorial cooperation, and implement preventative measures to shield the Gulf economies from illicit financial activities.
AML Editor’s article was originally published in arabtimesonline on Sep, 8 2025