answer text |
<p>Money Service Businesses (MSBs), including <em>Hawala</em>, play an important role
in conflict zones such as Afghanistan, Yemen, Sudan, Gaza and the Occupied Palestinian
Territories. MSBs are often the only way of transmitting money, including remittances,
to remote communities where formal banking services are limited. International standards
on MSBs are set by the Financial Action Task Force (FATF) which are implemented in
full by the UK. Government guidance sets out clearly that hawala banking in the UK
is legal and that many are regulated. In some cases, hawala are the only means of
transferring funds into high-risk jurisdictions but the risks associated with their
use need to be appropriately managed. Overall, we recognise that hawalas are an important
tool for tackling poverty and promoting financial inclusion during conflict and humanitarian
crises.</p>
|
|