The fatf recommendations are the basis on which all countries should meet the shared objective of tackling money laundering, terrorist financing and the financing of proliferation. In recent years, the financial action task force fatf 1 has noted increasingly sophisticated combinations of techniques, such as the increased use of legal persons to disguise the true ownership and control of illegal proceeds, and an increased use of. Cfatf procedures for the fourth round of amlcft mutual evaluations updated 14 march 2018. Antimoney laundering aml and 9 special recommendations on combating the financing of terrorism cft was prepared by the imf. Methodology for assessing compliance with the fatf 40 recommendations and fatf 9 special recommendations. The methodology and output of these efforts varies, but.
Money laundering and fatf compliance by the international. Where countries identify higher risks, they should ensure that their amlcft regime adequately addresses such risks. The fatf has also elaborated various interpretative. Though not a binding international convention, many countries in the world have made a political commitment to combat money laundering by implementing the 40 recommendations. The revision of the fatf recommendation was adopted.
An overview congressional research service 1 introduction the financial action task force on money laundering is composed of 35 member countries and territories and two regional 1organizations and was organized to develop and promote policies to. Leveraging the revised fatf recommendations to fortify. The impact of economic, governance and terrorist activity. Financial action task force on money laundering wikipedia. An introduction to the financial action task force and its. Initially developed in 1990, the recommendations were revised for the first time in 1996 to take into account changes in money laundering trends and to anticipate potential future threats.
The measurement of these levels of compliance is a difficult exercise given differing legal and financial systems, levels of resources and competing national priorities. The assessment considered the laws, regulations and other materials. This revision is intended to strengthen global safeguards and further protect the integrity of the financial system by providing governments with stronger tools to. Financial action task force groupe daction financiere methodology for assessing compliance with the fatf 40 recommendations and the fatf 9 special recommendations 27 february 2004 updated as of february 2009 fatf reference document. Financial action task force groupe daction financiere fatf ix special recommendations october 2001 incorporating all subsequent amendments until february 2008 the fatf revised the 40 and the ix recommendations. The fatf 40 and 9 recommendations have been revised to just fatf 40 recommendations.
Fatf 40 recommendations recent years, the financial action task force fatf 1 has noted. Fatf develops annual typology reports showcasing current money laundering and terrorist financing trends and methods. Pacific region and the issues pertaining to these countries. Financial action task force groupe daction financiere. An international analysis of fatf recommendations and. The financial action task force fatf is a thirtysix member intergovernmental organization whose mission is to. Mutual assessment is based on information obtained and observations made. Fatf recommendations financial action task force fatf. Task force fatf 40 recommendations for antimoney laundering aml and 9 special recommendations on combating the financing of terrorism cft was prepared by the imf. Cams director of programs and projects intergovernmental action group against money laundering in west africa giaba 10 december 20.
The second section of the report presents examples of jurisdictional risk assessments covering money laundering andor terrorist financing. The financial action task force released the revised 40 recommendations. The fatf calls upon all countries to effectively implement these measures in their national systems. The impact of economic, governance and terrorist activity on compliance with fatf recommendations by hattan shami a dissertation submitted to the graduate schoolnewark rutgers, the state university of new jersey. In 2001, its mandate was expanded to include terrorism financing the objectives of fatf are to set standards and promote effective. The financial action task force fatf typology report, terrorist financing, published in. According to fata website, the revised fatf recommendations now fully integrate counterterrorist financing measures with antimoney laundering controls, introduce new measures to. Recommendations 12, 16,17,20,24 and 25 to combat the prevalence of money laundering and terrorism financing. Pdf rasionalitas indonesia dalam pengimplementasian 40. Methodology 2004 download pdf 931kb the antimoney launderingcombating terrorist financing amlcft methodology 2004, including the assessment criteria, is designed to guide the assessment of a countrys compliance. Advisory fin2012a004 statement on antimoney laundering. Antimoney laundering and combating the financing of terrorism abstract.
Fatf recommendations are effectively implemented by all countries. This assessment of the antimoney laundering aml and combating the financing of terrorism cft regime of pakistan is based on the forty recommendations 2003 and the nine special recommendations on terrorist financing 2001 of the financial action task. Ix special recommendations download pdf 315kb recognising the vital importance of taking action to combat the financing of terrorism, the fatf has agreed these recommendations, which, when combined with the fatf forty recommendations on money laundering, set out the basic framework to detect, prevent and suppress the financing of terrorism. Fatf special recommendations on terrorist financing recognising the vital importance of taking action to combat the financing of terrorism, the fatf has agreed these recommendations, which, when combined with the fatf forty recommendations on money laundering, set out the basic framework to detect, prevent and. Firstly, member countries complete annual selfassessment style questionnaire and secondly.
This guidance was developed by the fatf in close consultation with representatives from the casinos sector. The fatf recommendations set out a comprehensive and consistent framework of measures which. The fatf 40 and 9 recommendations have been revised to. Special recommendations to counter the financing of terrorism in october 2001, as revised in june 2003, and subsequently published a ninth special recommendation in october 2004. Implementation of antimoney laundering standards in asia. The fatf is best known for its 40 9 recommendations, many of. An international analysis of fatf recommendations and compliance by dnfbps. Fatf recommends that dnfbps need to comply with five major recommendations i. It strives therefore to generate the broad political will and action that is necessary to. It was partially compliant or noncompliant for all 6 of the core recommendations. In transposing the directive in their national legislation, some eu member states already put in place measures that are proposed in the consultation. The key tool for this assessment is the methodology for assessing compliance with the fatf 40 recommendations and the fatf 9 special recommendations.