As US Department of State report expresses concern in regards to mobile From the Latin word moneta, nickname that was given by Romans to the goddess Juno because there was a minting workshop next to her temple. Money is any item that is generally accepted as payment for goods and services and repayment of debts, such as taxes, in a particular region, country or socio-economic context. Its onset dates back to the origins of humanity and its physical representation has taken on very varied forms until the appearance of metal coins. The banknote, a typical representati... providers fearing they are vulnerable to The operation of attempting to disguise a set of fraudulently or criminally obtained funds as legal, in operations undeclared to tax authorities, and therefore not subjected to taxation. Money laundering activities are strongly pursued by authorities and in most countries, there are strict rules for credit institutions to cooperate in the fight against money laundering operations, to declare and report any transactions that could be considered suspicious. activities. This fear has grown since international money transfer capabilities were integrated into programs such as M-Pesa (operating in 10 countries), or Safaricom’s M-Shwari in Kenya.
The State Department reports that Money sent home from emigrants working abroad. to Kenya from the US reached $1.55 billion in 2015 and $862 million between January and September 2016. US authorities fear that not enough monitoring is undertaken to detect and report suspicious activities despite Safaricom’s claim that they work hard to attain the highest standards. In fact, Safaricom is obliged to regularly supply reports in line with the Proceeds of Crime and Money Laundering Act of 2012. The telecommunication company’s partners are also required to abide by these standards.
Informal money transfers, however, are cause of greater concern. Mostly used in Kenya and Somalia, these are known as hawalas. They are difficult to track and don’t require senders or receivers to identify themselves. Also, they have no daily transfer limits, unlike M-Pesa which is limited to $1,400 a day.
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