Terrorism Financing Law in Bangladesh of the Hawala System and Its Regulatory Challenges: A Critical Study

Abstract

Financing of terrorism remains a critical issue in the global fight against terrorism. Terrorists relay on financial network to assist planning acquire resources and sustain networks that allow the execution of terrorist activities. Without sufficient funds or financial resources, terrorists cannot sustain operations, train their personnel's and expand their influences. One of the methods that gained attention as as significant channel for terrorisms financing is hawala. Hawala is an informal values or money transfer system that operate outside formal banking system in many countries for illegal purpose. Unlike formal banking system, hawala operates in regulated which violates anti money laundering and countering financial of terrorism measures both domestically and internationally. Following these issues, states in giving mutual legal assistance to each other have led to the use of international treaties and adopted preventive measures in domestics laws to deal with terrorisms financing. Despite those efforts, methods of terrorism financing continued to evolve and its characteristics emerged new challenges to both national and international legislation. However, a thorough understanding of such nature and analyzing the gaps in legal mechanism with thesis evolving issues is essential for developing more strengthened preventive strategies against terrorism financing.