The global efforts to establish an effective framework for the fight against money laundering and
terrorism financing required a new approach, enabling a connection between the private sector in
particular the financial market with the structures enforcing criminal legislation. As a result of
these considerations, countries adopted initiatives to establish a new type of a state authority, the
financial intelligence unit (FIU) (Europe, 2020). In Zimbabwe the Financial Intelligence Unit
was established in 2004 in terms of section 3 of the Bank Use Promotion and Suppression of
Money Laundering Act [Chapter 24:24]. The Unit exists as a Unit in the administrative
establishment of the Reserve Bank of Zimbabwe, but has its own governing statutes, giving it a
mandate distinct from that of the central bank. The Unit bears the primary responsibility of
ensuring anti money laundering and combating financial terrorism compliance (AML/CFT), but
works in close cooperation with supervisory or regulatory bodies of the various types of
designated reporting institutions to ensure that the regulated entities comply with their
AML/CFT obligations. The Unit also works with relevant stakeholders, in ensuring the
investigation, prosecution, conviction of criminal offenders, and confiscation of recovered assets
or funds.
The Financial Intelligence Unit is an autonomous regulatory body responsible for the regulation
and supervision of financial services business conducted in and from with The Republic of
Zimbabwe. The Unit maintains accountability through regular reporting to the Minister of
Finance, pursuant to the Bank Use Promotion Act. The Director-General of the Unit chairs the
Anti-Money Laundering Advisory Committee (AMLAC), which is responsible for policy
formulation. The Committee is selected by the Minister of Finance. The Unit exists as a Unit of
the Reserve Bank of Zimbabwe, but has its own governing statutes, giving it a mandate distinct
from that of the central bank. It focuses on the effort to target areas of suspicious transaction
reports that is they receive Suspicious Transaction Reports (STRs) from financial institutions and
designated Non Financial Businesses and Professions, they analyze those Suspicious Transaction
Reports (STRs), also disseminate the STRs in the form of financial intelligence to appropriate
law enforcement agencies for further investigation and /or prosecution and the Unit is also
mandated with promoting the usage of banks as a way to combat money laundering as well as
promoting financial inclusion (Zimbabwe, 2003).
The Bank Use Promotion and Suppression of Money Laundering Act [Chapter 24:24] of
financial intelligence unit of Zimbabwe is there to promote the use by the public of financial
institutions for the purpose of mediating, facilitating or obviating cash transactions, to discharge
the functions assigned to it under the Money Laundering and Proceeds of Crime Act [Chapter
9:24], to compile statistics and records and gather and disseminate information within Zimbabwe
or elsewhere on matters relating to its functions of noting suspicious transactions and analysis
and to issue guidelines or directions to financial institutions on matters relating suspicious
transaction reports and to monitor and enforce compliance with this Act by traders, parastatals,
designated institutions and other persons; and to create training facilities and provide training to
designated institutions on matters relating to suspicious transaction reports and to perform such
other function as may be assigned to it by or under this Act or as the Governor of the reserve
bank may assign to it by direction in writing (Zimbabwe, 2003).