US Treasury teams up with Amazon basin nations to tackle illicit finance in nature crimes

Protecting Amazon basin: US Treasury Secretary Janet Yellen, on Saturday announced a new initiative in collaboration with Amazon basin governments to combat illicit finance fuelling nature crimes such as illegal logging, mining, and wildlife trafficking.

Yellen said that this initiative aims to enhance cooperation amongst finance ministries, law enforcement, and other entities from Brazil, Colombia, Ecuador, Guyana, Peru, Suriname, and the United States. The goal is to improve training to identify illicit finance networks operating in the region.

Announcing the collaboration in Belem, Brazil's Amazon gateway city, which will host the COP 30 climate conference in 2025, Yellen mentioned that the efforts could lead to sanctions on responsible groups, severing their ties to the dollar-based financial system.

"Nature crimes globally generate proceeds in the hundreds of billions of dollars annually, often misusing and abusing the US financial system," Yellen said. She stressed that such trafficking disrupts the ecological balance of the Amazon rainforest, affects the livelihoods of local communities, and harms national economies in the region.

Enhancing anti-money laundering efforts

The Amazon Region Initiative Against Illicit Finance will focus on enhancing training, cooperation, and information-sharing to enable law enforcement and finance agencies to investigate money laundering involving transnational criminal organisations, drug cartels, and other groups.

In the coming months, the US and Brazil will organise a regional meeting to set priorities for the group. The Treasury will also conduct "follow-the-money" training sessions to strengthen investigators' skills, Yellen noted.

Additionally, the US Treasury plans to pursue joint investigations with participating countries against organisations behind nature crimes.

Yellen acknowledged the significant challenges ahead, stating, "There is much more work to do." However, she expressed optimism that improved coordination between the United States and regional partners would protect the international financial system's integrity while addressing a major threat to biodiversity.

(With Reuters Inputs)