Topic: High-risk and non-cooperative jurisdictions

Topic: High-risk and non-cooperative jurisdictions

The FATF identifies jurisdictions with weak measures to combat money laundering and terrorist financing (AML/CFT) in two FATF public documents that are issued three times a year. The FATF’s process to publicly list countries with weak AML/CFT regimes has proved effective. As of February 2016, the FATF has reviewed over 80 countries and publicly identified 59 of them. Of these 59, 46 have since made the necessary reforms to address their AML/CFT weaknesses and have been removed from the process (see also, an overview of the jurisdictions currently identified in this process). 

1)

The first public document, the FATF’s Public Statement, identifies:

  • Countries or jurisdictions with such serious strategic deficiencies that the FATF calls on its members and non-members to apply counter-measures.  
  • Countries or jurisdictions for which the FATF calls on its members to apply enhanced due diligence measures proportionate to the risks arising from the deficiencies associated with the country.
2) The statement “Improving Global AML/CFT Compliance: On-going process” identifies countries or jurisdictions with strategic weaknesses in their AML/CFT measures but that have provided a high-level commitment to an action plan developed with the FATF. The FATF encourages its members to consider the strategic deficiencies identified for these jurisdictions.  If a country fails to make sufficient or timely progress, the FATF can decide to increase its pressure on the country to make meaningful progress by moving it to the Public Statement. 

 

For more information about the FATF's process to identify high-risk and non-cooperative jurisidictions and monitor their progress, click here.