On 9 December 2024, the Council of Europe organised a workshop aimed at raising awareness among the competent authorities in Bosnia and Herzegovina about the importance of applying targeted, proportionate, and risk-based measures to prevent the misuse of non-profit organizations (NPOs) for terrorist financing.

The event brought together experts and participants to discuss challenges and strategies in safeguarding the NPO sector, including, inter alia, representatives from State Investigation and Protection Agency, Intelligence-Security Agency of Bosnia and Herzegovina, Ministry of Justice of Bosnia and Herzegovina, entity-level Ministries of Interior, and entity-level Tax Administrations. 

The presentations offered a thorough exploration of terrorist financing, emphasising definitions, typologies, mechanisms, and the vulnerabilities of NPOs to exploitation for terrorist financing. Case studies demonstrated common misuse tactics, like fund diversion and unregulated donations, highlighting the need for preventive measures. Participants learned about international standards, particularly FATF Recommendation 8, which advocates for targeted, risk-based, and proportionate regulations to protect NPOs without hindering their legitimate activities. Risk assessment methodologies were discussed, detailing how to identify high-risk organizations, evaluate associated threats, and implement mitigation strategies, including improved financial access and risk-based oversight practices.

Overall, the workshop was a valuable opportunity to increase the awareness of competent authorities in Bosnia and Herzegovina of the importance of preventing the misuse of the NPO sector for terrorist financing.

This workshop is a part of the Council of Europe's three-year initiative focused on combating corruption, money laundering, and terrorist financing in Bosnia and Herzegovina, funded under the European Union/Council of Europe Horizontal Facility for Western Balkans and Türkiye III and by a voluntary contribution of the Council of Europe.