Mutual Evaluation of Argentina: 11th Follow-Up Report

Argentina has made significant progress in addressing the deficiencies in its anti-money laundering/countering the financing of terrorism (AML/CFT) measures as identified in its Mutual Evaluation. The assessment team conducting the mutual evaluation, rated Argentina non-compliant (NC) or partially compliant (PC) on all of the Core and Key Recommendations.  As a result of this lack of compliance with the Core and Key Recommendations, the FATF Plenary placed Argentina in an enhanced follow-up process. The follow-up process is a desk-based review that monitors that a country takes the necessary steps to strengthen its AML/CFT framework.

Since the adoption of the mutual evaluation report in 2010, Argentina has taken a number of important steps to strengthen its legal and regulatory framework.  In particular, Argentina has:

• reformed and strengthened the money laundering offence, enhanced the scope of reporting parties covered and transferred the AML/CFT supervision to the financial intelligence unit (FIU).
• Enhanced the terrorist financing offence, in particular by criminalising the financing of terrorist acts, terrorists, and terrorist organisations.
• Through the FIU, issued a series of resolutions concerning customer due diligence (CDD) and record-keeping requirements as well as other AML/CFT measures to be taken by reporting parties.
• Created a framework to comply with United Nations Security Council Resolutions 1267 and 1373

As a result of this progress, the FATF Plenary decided that Argentina had taken sufficient steps in addressing technical compliance with the core and key Recommendations to be removed from the follow-up process.

Since June 2011, Argentina was also submitted to the FATF  International Co-operation Review Group process, and identified as a country with strategic AML/CFT deficiencies.  The FATF has determined that since 2011, Argentina has substantially addressed, on a technical level, the action plan agreed to with the FATF.  The procedures for exit from the ICRG process, require the FATF to conduct an on-site visit to confirm that the process of implementing the required reforms and actions is underway to address deficiencies previously identified by the FATF.  A successful outcome of that visit would result in Argentina no longer being identified as a country with strategic AML/CFT weaknesses.

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Mutual Evaluation of Argentina

Outcomes from the meeting of the FATF Plenary, Paris, 25-27 June 2014