Addressing Illicit Financial Flows: International Legal Efforts to Strengthen Economic Stability

Samenvatting

Illicit financial flows (IFFs) pose a significant threat to global economic stability, undermining governance, development, and financial integrity. This paper examines the international legal frameworks and collaborative efforts designed to combat IFFs, emphasizing their importance in promoting economic stability. The study analyzes key legal instruments, such as the United Nations Convention Against Corruption (UNCAC) and the Financial Action Task Force (FATF) recommendations, highlighting their roles in enhancing transparency, accountability, and cooperation among nations. It further explores the challenges faced by states in implementing these legal frameworks, including issues of jurisdiction, enforcement, and the lack of harmonization among national laws. Through a comparative analysis of various countries' approaches to IFFs, the paper identifies best practices and potential areas for reform. The findings suggest that effective international cooperation and robust legal mechanisms are essential for addressing the complexities of IFFs. Moreover, the paper underscores the necessity of integrating human rights considerations into anti-IFF strategies to ensure that efforts to strengthen economic stability do not inadvertently infringe upon civil liberties. Ultimately, this research contributes to the ongoing discourse on how international law can effectively mitigate the adverse effects of IFFs and foster sustainable economic development.