- International Monetary Fund
- Published Date:
- March 2005
© 2005 International Monetary Fund
Production: IMF Multimedia Services Division
Cover: Wendy Arnold
Logo designed by the Central Bank of the United Arab Emirates for the Hawala Conference. The central bank has kindly permitted the IMF to use the logo for this publication.
The papers in this publication should not be reported as representing the views of the IMF. The views expressed in the publication are those of the authors and do not necessarily represent those of the IMF or IMF policy.
Regulatory frameworks for hawala and other remittance systems—[Washington, D.C.] : International Monetary Fund, Monetary and Financial Systems Dept.,  p. cm.
1. Hawala system—Congresses. 2. International Monetary Fund—Congresses.
I. International Monetary Fund. Monetary and Financial Systems Dept.
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R. Barry Johnston
Maud J. Bökkerink
Samuel Munzele Maimbo
Paulo Roberto Gonçalves
Andres Arboleda Uribe
Mohamed Djirdeh Houssein
Hawala and other remittance systems have gained attention in past years with the substantial growth of remittance flows from countries with large migrant labor forces and with increased focus on combating both money laundering and the financing of terrorism.
In May 2002, the government of the United Arab Emirates, under the leadership of the Central Bank of the U.A.E., pioneered this area with the First International Conference on Hawala. The International Monetary Fund welcomed that the government of the U.A.E., again with the leadership of the Central Bank, organized a second conference in April 2004, and that the IMF has been able to collaborate with the U.A.E. in its organization.
The IMF and the World Bank have been researching hawala and other remittance systems since 2002 to better understand the significance of informal remittance systems and the interplay of historical, cultural, and economic factors that promote such systems. The IMF especially has been working on developing operational guidance for regulating both the formal and informal remittance sectors.
The Second International Conference on Hawala resulted in a conference statement that identified the challenges of implementing a regulatory framework for remittance systems. The conference participants concluded that there was a need to gather and analyze information on remittance systems and their operations and to conduct outreach to raise the regulated community’s and the public’s awareness of remittance issues.
The Monetary and Financial Systems Department of the IMF developed these proceedings of the Second International Conference on Hawala to promote outreach. Readers will find several articles on regulatory frameworks in remitting and receiving countries and some general articles on the problems that can arise when regulating remittance systems. I hope that this collection of articles will function as a survey of regulatory practices and an overview of experiences in different countries.
Monetary and Financial Systems Department, IMF