| KnowYourCountry |
FATF LIST OF UNCOOPERATIVE NATIONS -
25 JUNE, 2010
25 JUNE, 2010
| Country Reports Library |
| Home |
The Financial Action Task Force (FATF) is the global standard setting body for anti-money laundering and combating
the financing of terrorism (AML/CFT). In order to protect the international financial system from ML/FT risks and to
encourage greater compliance with the AML/CFT standards, the FATF identified jurisdictions that have strategic
deficiencies and, along with the FATF-style regional bodies (FSRBs), works with them to address those deficiencies that
pose a risk to the international financial system. The FATF and the relevant FSRBs will continue to work with the
jurisdictions below and report on their progress in addressing the identified deficiencies.
1. Jurisdictions subject to a FATF call on its members and other jurisdictions to apply counter-measures to protect the
international financial system from the ongoing and substantial money laundering and terrorist financing (ML/TF) risks
emanating from the jurisdiction:
Iran
2. Jurisdictions with strategic AML/CFT deficiencies that have not committed to an action plan developed with the FATF
to address key deficiencies as of June 2010. The FATF calls on its members to consider the risks arising from the
deficiencies associated with each jurisdiction, as described below.
Democratic People's Republic of Korea (DPRK)*
São Tomé and Príncipe
* Despite the FATF’s efforts, this jurisdiction has not constructively engaged with the FATF or an FSRB as of June 2010
and has not committed to the international AML/CFT standards.
The FATF has previously issued public statements calling for counter-measures on Iran. Those statements are updated
below.
Jurisdictions subject to a FATF call on its members and other jurisdictions to apply counter-measures to protect the
international financial system from the ongoing and substantial money laundering and terrorist financing (ML/TF) risks
emanating from the jurisdiction:
Iran
The FATF welcomes the recent steps that Iran has taken to engage with the FATF, but remains concerned by Iran’s
failure to meaningfully address the ongoing and substantial deficiencies in its anti-money laundering and combating the
financing of terrorism (AML/CFT) regime. The FATF remains particularly concerned about Iran’s failure to address the
risk of terrorist financing and the serious threat this poses to the integrity of the international financial system. The FATF
urges Iran to immediately and meaningfully address its AML/CFT deficiencies, in particular by criminalising terrorist
financing and effectively implementing suspicious transaction reporting (STR) requirements.
The FATF reaffirms its call on members and urges all jurisdictions to advise their financial institutions to give special
attention to business relationships and transactions with Iran, including Iranian companies and financial institutions. In
addition to enhanced scrutiny, the FATF reaffirms its 25 February 2009 call on its members and urges all jurisdictions to
apply effective counter-measures to protect their financial sectors from money laundering and financing of terrorism
(ML/FT) risks emanating from Iran. FATF continues to urge jurisdictions to protect against correspondent relationships
being used to bypass or evade counter-measures and risk mitigation practices, and to take into account ML/FT risks
when considering requests by Iranian financial institutions to open branches and subsidiaries in their jurisdiction. If Iran
fails to take concrete steps to improve its AML/CFT regime, the FATF will consider calling on its members and urging all
jurisdictions to strengthen counter-measures in October 2010.
2. Jurisdictions with strategic AML/CFT deficiencies that have not committed to an action plan developed with the FATF
to address key deficiencies as of June 2010. The FATF calls on its members to consider the risks arising from the
deficiencies associated with each jurisdiction, as described below.
Democratic People's Republic of Korea (DPRK)*
The Democratic People’s Republic of Korea (DPRK) has not committed to the AML/CFT international standards, nor has
it responded to the FATF’s numerous requests for engagement on these issues. DPRK’s lack of a comprehensive
AML/CFT regime poses a risk to the international financial system. DPRK should work with the FATF to develop a viable
AML/CFT regime in line with international standards.
São Tomé and Príncipe
The FATF remains concerned by São Tomé and Príncipe’s failure to meaningfully address the deficiencies in its
AML/CFT regime, particularly relating to terrorist financing. São Tomé and Príncipe’s lack of a comprehensive AML/CFT
regime poses a risk to the international financial system. São Tomé and Príncipe should work with the FATF and GIABA
to address the remaining AML/CFT deficiencies
Part 2
Jurisdictions which have strategic AML/CFT deficiencies for which they have developed an action plan
with the FATF.
As part of its ongoing review of compliance with the AML/CFT standards, the FATF has to date identified the following
jurisdictions which have strategic AML/CFT deficiencies for which they have developed an action plan with the FATF.
While the situations differ among each jurisdiction, each jurisdiction has provided a written high-level political
commitment to address the identified deficiencies. FATF welcomes these commitments.
A large number of jurisdictions have not yet been reviewed by the FATF. The FATF will continue to identify additional
jurisdictions, on an ongoing basis, that pose a risk in the international financial system. The FATF has already begun an
initial review of a number of such jurisdictions as part of this process and will present its findings later this year.
The FATF and the FSRBs will continue to work with the jurisdictions noted below and to report on the progress made in
addressing the identified deficiencies. The FATF calls on these jurisdictions to complete the implementation of action
plans expeditiously and within the proposed timeframes. The FATF will closely monitor the implementation of these
action plans and encourages its members to consider the information presented below.
Angola
In June 2010, Angola made a high-level political commitment to work with the FATF to address its strategic AML/CFT
deficiencies and has demonstrated some progress in improving its AML/CFT regime. However, the FATF has determined
that certain strategic AML/CFT deficiencies remain. Angola will work on implementing its action plan to address these
deficiencies, including by: 1) adequately criminalising money laundering and terrorist financing (Recommendation 1 and
Special Recommendation II); 2) ensuring a fully operational and effectively functioning Financial Intelligence Unit
(Recommendation 26); 3) establishing and implementing an adequate legal framework for identifying, tracing and
freezing terrorist assets (Special Recommendation III); 4) ratifying the UN Convention for the Suppression of the
Financing of Terrorism and the UN Convention on Transnational Organised Crime. The FATF encourages Angola to
address its remaining deficiencies and continue the process of implementing its action plan.
Antigua and Barbuda
In February 2010, Antigua and Barbuda made a high-level political commitment to work with the FATF and CFATF to
address its strategic AML/CFT deficiencies. Since that time, Antigua and Barbuda has demonstrated progress in
improving its AML/CFT regime, including by passing an amendment to the Prevention of Terrorism Act 2010 to establish
a legal framework for identifying and freezing terrorist assets. However, the FATF has determined that certain strategic
AML/CFT deficiencies remain. Antigua and Barbuda should continue to work on implementing its action plan to address
these deficiencies, including by: (1) implementing an adequate legal framework for identifying and freezing terrorist
assets (Special Recommendation III); (2) improving the overall supervisory framework (Recommendation 23); and (3)
enhancing financial transparency (Recommendation 4). The
FATF encourages Antigua and Barbuda to address its remaining deficiencies and continue the process of implementing
its action plan.
Azerbaijan
In February 2010, Azerbaijan made a high-level political commitment to work with the FATF and MONEYVAL to address
its strategic AML/CFT deficiencies. Since that time, Azerbaijan has demonstrated progress in improving its AML/CFT
regime, including by enacting AML/CFT amendments that aim to address issues relating to criminalisation of money
laundering and terrorist financing, establishing procedures to freeze terrorist assets, and enhancing the functioning of
the FIU. The FATF and MONEYVAL will 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.
Bolivia
In February 2010, Bolivia made a high-level political commitment to work with the FATF and GAFISUD to address its
strategic AML/CFT deficiencies. Since that time, Bolivia has demonstrated progress in improving its AML/CFT regime,
including by enacting a new AML law on 31 March 2010 to improve its criminalisation of money laundering and to
increase FIU functions. However, the FATF has determined that certain strategic deficiencies remain. Bolivia should
continue to work on implementing its action plan to address these deficiencies, including by: 1) ensuring adequate
criminalisation of money laundering (Recommendation 1); (2) adequately criminalising terrorist financing (Special
Recommendation II); (3) establishing and implementing an adequate legal framework for identifying and freezing terrorist
assets (Special Recommendation III); (4) establishing a fully operational and effective Financial Intelligence Unit
(Recommendation 26). The FATF encourages Bolivia to address its remaining deficiencies and continue the process of
implementing its action plan.
Ecuador
In June 2010, Ecuador made a high-level political commitment to work with the FATF and GAFISUD to address its
strategic AML/CFT deficiencies. Ecuador has demonstrated progress in improving its AML/CFT regime, including
submitting AML/CFT amendments to Congress. However, the FATF has determined that certain strategic AML/CFT
deficiencies remain. Ecuador will work on implementing its action plan to address these deficiencies, including by: (1)
adequately criminalising money laundering and terrorist financing (Recommendation 1 and Special Recommendation II);
(2) establishing and implementing adequate procedures to identify and freeze terrorist assets (Special Recommendation
III); (3) implementing adequate procedures for the confiscation of funds related to money laundering (Recommendation
3); (4) Reinforcing and improving coordination of financial sector supervision (Recommendation 23). The FATF
encourages Ecuador to address its remaining deficiencies and continue the process of implementing its action plan.
Ethiopia
In June 2010, Ethiopia made a high-level political commitment to work with the FATF to address its strategic AML/CFT
deficiencies. Ethiopia has demonstrated progress in improving its AML/CFT regime. However, the FATF has determined
that certain strategic AML/CFT deficiencies remain. Ethiopia will work on implementing its action plan to address these
deficiencies, including by: (1) adequately criminalising money laundering and terrorist financing (Recommendation 1 and
Special Recommendation II); (2) establishing and implementing adequate procedures to identify and freeze terrorist
assets (Special
Recommendation III); 3) ensuring a fully operational and effectively functioning Financial Intelligence Unit
(Recommendation 26); 4) establishing and implementing an adequate legal framework for identifying and freezing
terrorist assets (Special Recommendation III); 5) raising awareness of AML/CFT issues within the law enforcement
community (Recommendation 27); and (6) implementing effective, proportionate and dissuasive sanctions in order to
deal with natural or legal persons that do not comply with the national AML/CFT requirements (Recommendation 17).
The FATF encourages Ethiopia to address its remaining deficiencies and continue the process of implementing its action
plan.
Greece
In February 2010, Greece made a high-level political commitment to work with the FATF to address its strategic AML/CFT
deficiencies. Since that time, Greece has demonstrated progress, including by taking measures to enhance the
effectiveness of the FIU and tabling legislation that aims to address remaining issues regarding adequately criminalising
terrorist financing. However, the FATF has determined that certain strategic AML/CFT deficiencies remain. Greece
should continue to work on implementing its action plan to address these deficiencies, including by: (1) addressing
remaining issues regarding adequately criminalising terrorist financing (Special Recommendation II); (2) improving
mechanisms and procedures for freezing terrorist assets (Special Recommendation III); and (3) enhancing the
effectiveness of the FIU (Recommendation 26). The FATF encourages Greece to address its remaining deficiencies and
continue the process of implementing its action plan.
Indonesia
In February 2010, Indonesia made a high-level political commitment to work with the FATF and the APG to address its
strategic AML/CFT deficiencies. Since that time, Indonesia has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic AML/CFT deficiencies remain. Indonesia should continue to
work on implementing its action plan to address these deficiencies, including by: (1) adequately criminalising money
laundering and terrorist financing (Recommendation 1 and Special Recommendation II); (2) establishing and
implementing adequate procedures to identify and freeze terrorist assets (Special Recommendation III); and (3)
amending and implementing laws or other instruments to fully implementing the 1999 International Convention for the
Suppression of Financing of Terrorism (Special Recommendation I). The FATF encourages Indonesia to address its
remaining deficiencies and continue the process of implementing its action plan.
Kenya
In February 2010, Kenya made a high-level political commitment to work with the FATF and ESAAMLG to address its
strategic AML/CFT deficiencies. Since that time, Kenya has demonstrated progress in improving its AML/CFT regime,
including by bringing into force the Proceeds of Crime and Anti-Money Laundering Act on 28 June 2010. However, the
FATF has determined that certain strategic AML/CFT deficiencies remain. Kenya should continue to work on
implementing its action plan to address these deficiencies, including by: 1) adequately criminalising terrorist financing
(Special Recommendation II); 2) ensuring a fully operational and effectively functioning Financial Intelligence Unit
(Recommendation 26); 3) establishing and implementing an adequate legal framework for identifying and freezing
terrorist assets (Special Recommendation III); 4) raising awareness of AML/CFT issues within the law enforcement
community (Recommendation 27); and (5) implementing effective, proportionate and dissuasive sanctions in order to
deal with natural or legal persons that do not comply with the national AML/CFT requirements (Recommendation 17).
The FATF encourages Kenya to address its remaining deficiencies and continue the process of implementing its action
plan.
Morocco
In February 2010, Morocco made a high-level political commitment to work with the FATF and MENAFATF to address its
strategic AML/CFT deficiencies. Since that time, Morocco has demonstrated progress in improving its AML/CFT regime,
including by taking initial steps to make the FIU more operational and drafting an AML bill. However, the FATF has
determined that certain strategic AML/CFT deficiencies remain. Morocco should continue to work on implementing its
action plan to address these deficiencies, including by: (1) amending the penal code to extend the scope of the ML and
FT offences (Recommendation 1 and Special Recommendation II); (2) amending relevant laws or regulations to address
deficiencies in customer due diligence requirements (Recommendation 5); and (3) ensuring a fully operational and
effectively functioning Financial Intelligence Unit (Recommendation 26). The FATF encourages Morocco to address its
remaining deficiencies and continue the process of implementing its action plan.
Myanmar
In February 2010, Myanmar made a high-level political commitment to work with the FATF and APG to address its
strategic AML/CFT deficiencies. Since that time, Myanmar has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic AML/CFT deficiencies remain. Myanmar should continue to
work on implementing its action plan to address these deficiencies, including by: (1) adequately criminalising money
laundering and terrorist financing (Recommendation 1 and Special Recommendation II); (2) establishing and
implementing adequate procedures to identify and freeze terrorist assets (Special Recommendation III); (3)
strengthening the extradition framework in relation to terrorist financing (Recommendation 35 and Special
Recommendation I); (4) ensuring a fully operational and effectively functioning Financial Intelligence Unit
(Recommendation 26); (5) enhancing financial transparency (Recommendation 4); and (6) strengthening customer due
diligence measures (Recommendations 5). The FATF encourages Myanmar to address its remaining deficiencies and
continue the process of implementing its action plan.
Nepal
In February 2010, Nepal made a high-level political commitment to work with the FATF and APG to address its strategic
AML/CFT deficiencies. Since that time, Nepal has demonstrated progress in improving its AML/CFT regime, including by
broadening its AML law to criminalise a wider range of offences. However, the FATF has determined that certain
strategic AML/CFT deficiencies remain. Nepal should continue to work on implementing its action plan to address these
deficiencies, including by: (1) adequately criminalising money laundering and terrorist financing (Recommendation 1 and
Special Recommendation II); (2) establishing and implementing adequate procedures to identify and freeze terrorist
assets (Special Recommendation III); (3) implementing adequate procedures for the confiscation of funds related to
money laundering (Recommendation 3); and (4) enacting and implementing appropriate mutual legal assistance
legislation (Recommendation 36). The FATF encourages Nepal to address its remaining deficiencies and continue the
process of implementing its action plan.
Nigeria
In February 2010, Nigeria made a high-level political commitment to work with the FATF and GIABA to address its
strategic AML/CFT deficiencies. Since that time, Nigeria has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic AML/CFT deficiencies remain. Nigeria should continue to
work on implementing its action plan to address these deficiencies, including by: (1) adequately criminalising money
laundering and terrorist financing (Recommendation 1 and Special Recommendation II); (2) implementing adequate
procedures to identify and freeze terrorist assets (Special Recommendation III); (3) ensuring that relevant laws or
regulations address deficiencies in customer due diligence requirements and that they apply to all financial institutions
(Recommendation 5); and (4) demonstrating that AML/CFT supervision is undertaken effectively across the financial
sector (Recommendation 23). The FATF encourages Nigeria to address its remaining deficiencies and continue the
process of implementing its action plan.
Pakistan
In June 2010, Pakistan made a high-level political commitment to work with the FATF and APG to address its strategic
AML/CFT deficiencies. Pakistan has demonstrated progress in improving its AML/CFT regime, including enacting a
permanent AML law. However, the FATF has determined that certain strategic AML/CFT deficiencies remain. Pakistan
will work on implementing its action plan to address these deficiencies, including by (1) demonstrating adequate
criminalisation of money laundering and terrorist financing (Recommendation 1 and Special Recommendation II); (2)
demonstrating adequate procedures to identify, freeze and confiscate terrorist assets (Special Recommendation III); (3)
ensuring a fully operational and effectively functioning Financial Intelligence Unit (Recommendation 26); (4)
demonstrating effective regulation of money service providers, including an appropriate sanctions regime, and
increasing the range of ML/FT preventive measures for these services (Special Recommendation VI); and (5) improving
and implementing effective controls for cross-border cash transactions (Special Recommendation IX). The FATF
encourages Pakistan to address its remaining deficiencies and continue the process of implementing its action plan.
Paraguay
In February 2010, Paraguay made a high-level political commitment to work with the FATF and GAFISUD to address its
strategic AML/CFT deficiencies. Since that time, Paraguay has demonstrated progress in improving its AML/CFT regime,
including by enacting a law that criminalises terrorist financing on 23 June 2010, which needs to be analysed by the
FATF, and adopting a regulation to develop controls for cross-border cash transactions on 17 June 2010. However, the
FATF has determined that certain strategic AML/CFT deficiencies remain. Paraguay should continue to work on
implementing its action plan to address these deficiencies, including by: (1) ensuring adequate criminalisation of terrorist
financing (Special Recommendation II); (2) establishing and implementing adequate procedures to identify, freeze and
confiscate terrorist assets (Special Recommendation III); (3) improving financial transparency (Recommendation 4); (4)
improving and broadening customer due diligence measures (Recommendation 5), and (5) implementing effective
controls for cross-border cash transactions (Special Recommendation IX). The FATF encourages Paraguay to address
its remaining deficiencies and continue the process of implementing its action plan.
Qatar
In February 2010, Qatar made a high-level political commitment to work with the FATF and MENAFATF to address its
strategic AML/CFT deficiencies. Since that time, Qatar has demonstrated progress in improving its AML/CFT regime,
including by enacting a new AML/CFT law, issuing revised AML/CFT regulations for the financial sector, and providing
guidance on the suspicious transaction reporting requirements. The FATF and MENAFATF will 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.
Sri Lanka
In February 2010, Sri Lanka made a high-level political commitment to work with the FATF and APG to address its
strategic AML/CFT deficiencies. Since that time, Sri Lanka has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic AML/CFT deficiencies remain. Sri Lanka should continue to
work on implementing its action plan to address these deficiencies, including by: (1) adequately criminalising money
laundering and terrorist financing (Recommendation 1 and Special Recommendation II); and (2) establishing and
implementing adequate procedures to identify and freeze terrorist assets (Special Recommendation III). The FATF
encourages Sri Lanka to address its remaining deficiencies and continue the process of implementing its action plan.
Sudan
In February 2010, Sudan made a high-level political commitment to work with the FATF and MENAFATF to address its
strategic AML/CFT deficiencies. Since that time, Sudan has demonstrated progress in improving its AML/CFT regime,
including by taking initial steps to operationalise the FIU. However, the FATF has determined that certain strategic
AML/CFT deficiencies remain. Sudan should continue to work on implementing its action plan to address these
deficiencies, including by: (1) implementing adequate procedures for identifying and freezing terrorist assets (Special
Recommendation III); (2) ensuring a fully operational and effectively functioning Financial Intelligence Unit
(Recommendation 26); (3) ensuring financial institutions are aware of and comply with their obligations to file suspicious
transaction reports in relation to ML and FT (Recommendation 13 and Special Recommendation IV) and (4)
implementing a supervisory programme for the regulators to ensure compliance with the provisions of the new law and
regulations (Recommendation 23). The FATF encourages Sudan to address its remaining deficiencies and continue the
process of implementing its action plan.
Syria
In February 2010, Syria made a high-level political commitment to work with the FATF and MENAFATF to address its
strategic AML/CFT deficiencies. Since that time, Syria has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic AML/CFT deficiencies remain. Syria should continue to work on
implementing its action plan to address these deficiencies, including by: (1) adopting adequate measures to implement
and enforce the 1999 International Convention for the Suppression of Financing of Terrorism (Special Recommendation
I); (2) adequately criminalising terrorist financing (Special Recommendation II); (3) implementing adequate procedures
for identifying and freezing terrorist assets (Special Recommendation III); (4) ensuring financial institutions are aware of
and comply with their obligations to file suspicious transaction reports in relation to ML and FT (Recommendation 13 and
Special Recommendation IV) and (5) adopting appropriate laws and procedures to provide mutual legal assistance
(Recommendations 36-38, Special Recommendation V). The FATF encourages Syria to address its remaining
deficiencies and continue the process of implementing its action plan.
Thailand
In February 2010, Thailand made a high-level political commitment to work with the FATF and APG to address its
strategic AML/CFT deficiencies. Since that time, Thailand has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic AML/CFT deficiencies remain. Thailand should continue to work
on implementing its action plan to address these deficiencies, including by: (1) adequately criminalising terrorist
financing (Special Recommendation II); (2) establishing and implementing adequate procedures to identify and freeze
terrorist assets (Special Recommendation III); and (3) further strengthening AML/CFT supervision (Recommendation
23). The FATF encourages Thailand to address its remaining deficiencies and continue the process of implementing its
action plan.
Trinidad and Tobago
In February 2010, Trinidad and Tobago made a high-level political commitment to work with the FATF and CFATF to
address its strategic AML/CFT deficiencies. Since that time, Trinidad and Tobago has demonstrated progress in
improving its AML/CFT regime; however, the FATF has determined that certain strategic AML/CFT deficiencies remain.
Trinidad and Tobago should continue to work on implementing its action plan to address these deficiencies, including
by: (1) implementing adequate procedures to identify and freeze terrorist assets without delay (Special
Recommendation III); (2) implementing adequate procedures for the confiscation of funds related to money laundering
(Recommendation 3); (3) ensuring a fully operational and effectively functioning FIU, including supervisory powers
(Recommendation 26). The FATF encourages Trinidad and Tobago to address its remaining deficiencies and continue
the process of implementing its action plan.
Turkey
In February 2010, Turkey made a high-level political commitment work with the FATF to address its strategic AML/CFT
deficiencies. Since that time, Turkey has demonstrated progress in improving its AML/CFT regime, including by drafting
CFT legislation. However, the FATF has determined that certain strategic AML/CFT deficiencies remain. Turkey should
continue to work on implementing its action plan to address these deficiencies, including by: (1) adequately criminalising
terrorist financing (Special Recommendation II); and (2) implementing an adequate legal framework for identifying and
freezing terrorist assets (Special Recommendation III). The FATF encourages Turkey to address its remaining
deficiencies and continue the process of implementing its action plan.
Turkmenistan
In June 2010, Turkmenistan made a high-level political commitment to work with the FATF and EAG to address its
strategic AML/CFT deficiencies. Turkmenistan has demonstrated progress in improving its AML/CFT regime, including by
adopting a law criminalising terrorist financing and enacting FIU and reporting regulations. However, the FATF has
determined that certain strategic AML/CFT deficiencies remain. Turkmenistan will work on implementing its action plan to
address these deficiencies, including by: (1) addressing the remaining issues with the criminalisation of money
laundering and terrorist financing (Recommendation 1 and Special Recommendation II), (2) implementing adequate
procedures to identify and freeze terrorist assets without delay (Special Recommendation III); (3) ensuring a fully
operational and effectively functioning FIU (Recommendation 26), (4) developing collaboration between the FIU and
domestic counterparts, including supervisory authorities, and (5) strengthening international cooperation. The FATF
encourages Turkmenistan to address its remaining deficiencies and continue the process of implementing its action plan.
Ukraine
In February 2010, Ukraine made a high-level political commitment to work with the FATF and MONEYVAL to address its
strategic AML/CFT deficiencies. Since that time, Ukraine has demonstrated progress in improving its AML/CFT regime,
including by enacting a new AML/CFT law. However, the FATF has determined that certain strategic AML/CFT
deficiencies remain. Ukraine should continue to work on implementing its action plan to address these deficiencies,
including by: (1) addressing remaining issues regarding criminalisation of money laundering and terrorist financing
(Recommendation 1 and Special Recommendation II); and (2) improving and implementing an adequate legal framework
for identifying and freezing terrorist assets (Special Recommendation III). The FATF encourages Ukraine to address its
remaining deficiencies and continue the process of implementing its action plan.
Yemen
In February 2010, Yemen made a high-level political commitment to work with the FATF and MENFATF to address its
strategic AML/CFT deficiencies. Since that time, Yemen has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic deficiencies remain. Yemen should continue to work on
implementing its action plan to address these deficiencies, including by: (1) adequately criminalising money laundering
(Recommendation 1); (2) establishing and implementing adequate procedures to identify and freeze terrorist assets
(Special Recommendation III); (3) issuing substantive guidance/instructions to reporting institutions with respect to their
ML/FT obligations (Recommendation 25); (4) developing the monitoring and supervisory capacity of the financial sector
supervisory authorities and the FIU, to ensuring compliance by financial institutions with their STR obligations, especially
in relation to FT (Recommendation 23); and (5) ensuring a fully operational and effectively functioning Financial
Intelligence Unit (Recommendation 26). The FATF encourages Yemen to address its remaining deficiencies and
continue the process of implementing its action plan
- To view previous FATF statement dated 18 February, 2010, please click here.
the financing of terrorism (AML/CFT). In order to protect the international financial system from ML/FT risks and to
encourage greater compliance with the AML/CFT standards, the FATF identified jurisdictions that have strategic
deficiencies and, along with the FATF-style regional bodies (FSRBs), works with them to address those deficiencies that
pose a risk to the international financial system. The FATF and the relevant FSRBs will continue to work with the
jurisdictions below and report on their progress in addressing the identified deficiencies.
1. Jurisdictions subject to a FATF call on its members and other jurisdictions to apply counter-measures to protect the
international financial system from the ongoing and substantial money laundering and terrorist financing (ML/TF) risks
emanating from the jurisdiction:
Iran
2. Jurisdictions with strategic AML/CFT deficiencies that have not committed to an action plan developed with the FATF
to address key deficiencies as of June 2010. The FATF calls on its members to consider the risks arising from the
deficiencies associated with each jurisdiction, as described below.
Democratic People's Republic of Korea (DPRK)*
São Tomé and Príncipe
* Despite the FATF’s efforts, this jurisdiction has not constructively engaged with the FATF or an FSRB as of June 2010
and has not committed to the international AML/CFT standards.
The FATF has previously issued public statements calling for counter-measures on Iran. Those statements are updated
below.
Jurisdictions subject to a FATF call on its members and other jurisdictions to apply counter-measures to protect the
international financial system from the ongoing and substantial money laundering and terrorist financing (ML/TF) risks
emanating from the jurisdiction:
Iran
The FATF welcomes the recent steps that Iran has taken to engage with the FATF, but remains concerned by Iran’s
failure to meaningfully address the ongoing and substantial deficiencies in its anti-money laundering and combating the
financing of terrorism (AML/CFT) regime. The FATF remains particularly concerned about Iran’s failure to address the
risk of terrorist financing and the serious threat this poses to the integrity of the international financial system. The FATF
urges Iran to immediately and meaningfully address its AML/CFT deficiencies, in particular by criminalising terrorist
financing and effectively implementing suspicious transaction reporting (STR) requirements.
The FATF reaffirms its call on members and urges all jurisdictions to advise their financial institutions to give special
attention to business relationships and transactions with Iran, including Iranian companies and financial institutions. In
addition to enhanced scrutiny, the FATF reaffirms its 25 February 2009 call on its members and urges all jurisdictions to
apply effective counter-measures to protect their financial sectors from money laundering and financing of terrorism
(ML/FT) risks emanating from Iran. FATF continues to urge jurisdictions to protect against correspondent relationships
being used to bypass or evade counter-measures and risk mitigation practices, and to take into account ML/FT risks
when considering requests by Iranian financial institutions to open branches and subsidiaries in their jurisdiction. If Iran
fails to take concrete steps to improve its AML/CFT regime, the FATF will consider calling on its members and urging all
jurisdictions to strengthen counter-measures in October 2010.
2. Jurisdictions with strategic AML/CFT deficiencies that have not committed to an action plan developed with the FATF
to address key deficiencies as of June 2010. The FATF calls on its members to consider the risks arising from the
deficiencies associated with each jurisdiction, as described below.
Democratic People's Republic of Korea (DPRK)*
The Democratic People’s Republic of Korea (DPRK) has not committed to the AML/CFT international standards, nor has
it responded to the FATF’s numerous requests for engagement on these issues. DPRK’s lack of a comprehensive
AML/CFT regime poses a risk to the international financial system. DPRK should work with the FATF to develop a viable
AML/CFT regime in line with international standards.
São Tomé and Príncipe
The FATF remains concerned by São Tomé and Príncipe’s failure to meaningfully address the deficiencies in its
AML/CFT regime, particularly relating to terrorist financing. São Tomé and Príncipe’s lack of a comprehensive AML/CFT
regime poses a risk to the international financial system. São Tomé and Príncipe should work with the FATF and GIABA
to address the remaining AML/CFT deficiencies
Part 2
Jurisdictions which have strategic AML/CFT deficiencies for which they have developed an action plan
with the FATF.
As part of its ongoing review of compliance with the AML/CFT standards, the FATF has to date identified the following
jurisdictions which have strategic AML/CFT deficiencies for which they have developed an action plan with the FATF.
While the situations differ among each jurisdiction, each jurisdiction has provided a written high-level political
commitment to address the identified deficiencies. FATF welcomes these commitments.
A large number of jurisdictions have not yet been reviewed by the FATF. The FATF will continue to identify additional
jurisdictions, on an ongoing basis, that pose a risk in the international financial system. The FATF has already begun an
initial review of a number of such jurisdictions as part of this process and will present its findings later this year.
The FATF and the FSRBs will continue to work with the jurisdictions noted below and to report on the progress made in
addressing the identified deficiencies. The FATF calls on these jurisdictions to complete the implementation of action
plans expeditiously and within the proposed timeframes. The FATF will closely monitor the implementation of these
action plans and encourages its members to consider the information presented below.
Angola
In June 2010, Angola made a high-level political commitment to work with the FATF to address its strategic AML/CFT
deficiencies and has demonstrated some progress in improving its AML/CFT regime. However, the FATF has determined
that certain strategic AML/CFT deficiencies remain. Angola will work on implementing its action plan to address these
deficiencies, including by: 1) adequately criminalising money laundering and terrorist financing (Recommendation 1 and
Special Recommendation II); 2) ensuring a fully operational and effectively functioning Financial Intelligence Unit
(Recommendation 26); 3) establishing and implementing an adequate legal framework for identifying, tracing and
freezing terrorist assets (Special Recommendation III); 4) ratifying the UN Convention for the Suppression of the
Financing of Terrorism and the UN Convention on Transnational Organised Crime. The FATF encourages Angola to
address its remaining deficiencies and continue the process of implementing its action plan.
Antigua and Barbuda
In February 2010, Antigua and Barbuda made a high-level political commitment to work with the FATF and CFATF to
address its strategic AML/CFT deficiencies. Since that time, Antigua and Barbuda has demonstrated progress in
improving its AML/CFT regime, including by passing an amendment to the Prevention of Terrorism Act 2010 to establish
a legal framework for identifying and freezing terrorist assets. However, the FATF has determined that certain strategic
AML/CFT deficiencies remain. Antigua and Barbuda should continue to work on implementing its action plan to address
these deficiencies, including by: (1) implementing an adequate legal framework for identifying and freezing terrorist
assets (Special Recommendation III); (2) improving the overall supervisory framework (Recommendation 23); and (3)
enhancing financial transparency (Recommendation 4). The
FATF encourages Antigua and Barbuda to address its remaining deficiencies and continue the process of implementing
its action plan.
Azerbaijan
In February 2010, Azerbaijan made a high-level political commitment to work with the FATF and MONEYVAL to address
its strategic AML/CFT deficiencies. Since that time, Azerbaijan has demonstrated progress in improving its AML/CFT
regime, including by enacting AML/CFT amendments that aim to address issues relating to criminalisation of money
laundering and terrorist financing, establishing procedures to freeze terrorist assets, and enhancing the functioning of
the FIU. The FATF and MONEYVAL will 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.
Bolivia
In February 2010, Bolivia made a high-level political commitment to work with the FATF and GAFISUD to address its
strategic AML/CFT deficiencies. Since that time, Bolivia has demonstrated progress in improving its AML/CFT regime,
including by enacting a new AML law on 31 March 2010 to improve its criminalisation of money laundering and to
increase FIU functions. However, the FATF has determined that certain strategic deficiencies remain. Bolivia should
continue to work on implementing its action plan to address these deficiencies, including by: 1) ensuring adequate
criminalisation of money laundering (Recommendation 1); (2) adequately criminalising terrorist financing (Special
Recommendation II); (3) establishing and implementing an adequate legal framework for identifying and freezing terrorist
assets (Special Recommendation III); (4) establishing a fully operational and effective Financial Intelligence Unit
(Recommendation 26). The FATF encourages Bolivia to address its remaining deficiencies and continue the process of
implementing its action plan.
Ecuador
In June 2010, Ecuador made a high-level political commitment to work with the FATF and GAFISUD to address its
strategic AML/CFT deficiencies. Ecuador has demonstrated progress in improving its AML/CFT regime, including
submitting AML/CFT amendments to Congress. However, the FATF has determined that certain strategic AML/CFT
deficiencies remain. Ecuador will work on implementing its action plan to address these deficiencies, including by: (1)
adequately criminalising money laundering and terrorist financing (Recommendation 1 and Special Recommendation II);
(2) establishing and implementing adequate procedures to identify and freeze terrorist assets (Special Recommendation
III); (3) implementing adequate procedures for the confiscation of funds related to money laundering (Recommendation
3); (4) Reinforcing and improving coordination of financial sector supervision (Recommendation 23). The FATF
encourages Ecuador to address its remaining deficiencies and continue the process of implementing its action plan.
Ethiopia
In June 2010, Ethiopia made a high-level political commitment to work with the FATF to address its strategic AML/CFT
deficiencies. Ethiopia has demonstrated progress in improving its AML/CFT regime. However, the FATF has determined
that certain strategic AML/CFT deficiencies remain. Ethiopia will work on implementing its action plan to address these
deficiencies, including by: (1) adequately criminalising money laundering and terrorist financing (Recommendation 1 and
Special Recommendation II); (2) establishing and implementing adequate procedures to identify and freeze terrorist
assets (Special
Recommendation III); 3) ensuring a fully operational and effectively functioning Financial Intelligence Unit
(Recommendation 26); 4) establishing and implementing an adequate legal framework for identifying and freezing
terrorist assets (Special Recommendation III); 5) raising awareness of AML/CFT issues within the law enforcement
community (Recommendation 27); and (6) implementing effective, proportionate and dissuasive sanctions in order to
deal with natural or legal persons that do not comply with the national AML/CFT requirements (Recommendation 17).
The FATF encourages Ethiopia to address its remaining deficiencies and continue the process of implementing its action
plan.
Greece
In February 2010, Greece made a high-level political commitment to work with the FATF to address its strategic AML/CFT
deficiencies. Since that time, Greece has demonstrated progress, including by taking measures to enhance the
effectiveness of the FIU and tabling legislation that aims to address remaining issues regarding adequately criminalising
terrorist financing. However, the FATF has determined that certain strategic AML/CFT deficiencies remain. Greece
should continue to work on implementing its action plan to address these deficiencies, including by: (1) addressing
remaining issues regarding adequately criminalising terrorist financing (Special Recommendation II); (2) improving
mechanisms and procedures for freezing terrorist assets (Special Recommendation III); and (3) enhancing the
effectiveness of the FIU (Recommendation 26). The FATF encourages Greece to address its remaining deficiencies and
continue the process of implementing its action plan.
Indonesia
In February 2010, Indonesia made a high-level political commitment to work with the FATF and the APG to address its
strategic AML/CFT deficiencies. Since that time, Indonesia has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic AML/CFT deficiencies remain. Indonesia should continue to
work on implementing its action plan to address these deficiencies, including by: (1) adequately criminalising money
laundering and terrorist financing (Recommendation 1 and Special Recommendation II); (2) establishing and
implementing adequate procedures to identify and freeze terrorist assets (Special Recommendation III); and (3)
amending and implementing laws or other instruments to fully implementing the 1999 International Convention for the
Suppression of Financing of Terrorism (Special Recommendation I). The FATF encourages Indonesia to address its
remaining deficiencies and continue the process of implementing its action plan.
Kenya
In February 2010, Kenya made a high-level political commitment to work with the FATF and ESAAMLG to address its
strategic AML/CFT deficiencies. Since that time, Kenya has demonstrated progress in improving its AML/CFT regime,
including by bringing into force the Proceeds of Crime and Anti-Money Laundering Act on 28 June 2010. However, the
FATF has determined that certain strategic AML/CFT deficiencies remain. Kenya should continue to work on
implementing its action plan to address these deficiencies, including by: 1) adequately criminalising terrorist financing
(Special Recommendation II); 2) ensuring a fully operational and effectively functioning Financial Intelligence Unit
(Recommendation 26); 3) establishing and implementing an adequate legal framework for identifying and freezing
terrorist assets (Special Recommendation III); 4) raising awareness of AML/CFT issues within the law enforcement
community (Recommendation 27); and (5) implementing effective, proportionate and dissuasive sanctions in order to
deal with natural or legal persons that do not comply with the national AML/CFT requirements (Recommendation 17).
The FATF encourages Kenya to address its remaining deficiencies and continue the process of implementing its action
plan.
Morocco
In February 2010, Morocco made a high-level political commitment to work with the FATF and MENAFATF to address its
strategic AML/CFT deficiencies. Since that time, Morocco has demonstrated progress in improving its AML/CFT regime,
including by taking initial steps to make the FIU more operational and drafting an AML bill. However, the FATF has
determined that certain strategic AML/CFT deficiencies remain. Morocco should continue to work on implementing its
action plan to address these deficiencies, including by: (1) amending the penal code to extend the scope of the ML and
FT offences (Recommendation 1 and Special Recommendation II); (2) amending relevant laws or regulations to address
deficiencies in customer due diligence requirements (Recommendation 5); and (3) ensuring a fully operational and
effectively functioning Financial Intelligence Unit (Recommendation 26). The FATF encourages Morocco to address its
remaining deficiencies and continue the process of implementing its action plan.
Myanmar
In February 2010, Myanmar made a high-level political commitment to work with the FATF and APG to address its
strategic AML/CFT deficiencies. Since that time, Myanmar has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic AML/CFT deficiencies remain. Myanmar should continue to
work on implementing its action plan to address these deficiencies, including by: (1) adequately criminalising money
laundering and terrorist financing (Recommendation 1 and Special Recommendation II); (2) establishing and
implementing adequate procedures to identify and freeze terrorist assets (Special Recommendation III); (3)
strengthening the extradition framework in relation to terrorist financing (Recommendation 35 and Special
Recommendation I); (4) ensuring a fully operational and effectively functioning Financial Intelligence Unit
(Recommendation 26); (5) enhancing financial transparency (Recommendation 4); and (6) strengthening customer due
diligence measures (Recommendations 5). The FATF encourages Myanmar to address its remaining deficiencies and
continue the process of implementing its action plan.
Nepal
In February 2010, Nepal made a high-level political commitment to work with the FATF and APG to address its strategic
AML/CFT deficiencies. Since that time, Nepal has demonstrated progress in improving its AML/CFT regime, including by
broadening its AML law to criminalise a wider range of offences. However, the FATF has determined that certain
strategic AML/CFT deficiencies remain. Nepal should continue to work on implementing its action plan to address these
deficiencies, including by: (1) adequately criminalising money laundering and terrorist financing (Recommendation 1 and
Special Recommendation II); (2) establishing and implementing adequate procedures to identify and freeze terrorist
assets (Special Recommendation III); (3) implementing adequate procedures for the confiscation of funds related to
money laundering (Recommendation 3); and (4) enacting and implementing appropriate mutual legal assistance
legislation (Recommendation 36). The FATF encourages Nepal to address its remaining deficiencies and continue the
process of implementing its action plan.
Nigeria
In February 2010, Nigeria made a high-level political commitment to work with the FATF and GIABA to address its
strategic AML/CFT deficiencies. Since that time, Nigeria has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic AML/CFT deficiencies remain. Nigeria should continue to
work on implementing its action plan to address these deficiencies, including by: (1) adequately criminalising money
laundering and terrorist financing (Recommendation 1 and Special Recommendation II); (2) implementing adequate
procedures to identify and freeze terrorist assets (Special Recommendation III); (3) ensuring that relevant laws or
regulations address deficiencies in customer due diligence requirements and that they apply to all financial institutions
(Recommendation 5); and (4) demonstrating that AML/CFT supervision is undertaken effectively across the financial
sector (Recommendation 23). The FATF encourages Nigeria to address its remaining deficiencies and continue the
process of implementing its action plan.
Pakistan
In June 2010, Pakistan made a high-level political commitment to work with the FATF and APG to address its strategic
AML/CFT deficiencies. Pakistan has demonstrated progress in improving its AML/CFT regime, including enacting a
permanent AML law. However, the FATF has determined that certain strategic AML/CFT deficiencies remain. Pakistan
will work on implementing its action plan to address these deficiencies, including by (1) demonstrating adequate
criminalisation of money laundering and terrorist financing (Recommendation 1 and Special Recommendation II); (2)
demonstrating adequate procedures to identify, freeze and confiscate terrorist assets (Special Recommendation III); (3)
ensuring a fully operational and effectively functioning Financial Intelligence Unit (Recommendation 26); (4)
demonstrating effective regulation of money service providers, including an appropriate sanctions regime, and
increasing the range of ML/FT preventive measures for these services (Special Recommendation VI); and (5) improving
and implementing effective controls for cross-border cash transactions (Special Recommendation IX). The FATF
encourages Pakistan to address its remaining deficiencies and continue the process of implementing its action plan.
Paraguay
In February 2010, Paraguay made a high-level political commitment to work with the FATF and GAFISUD to address its
strategic AML/CFT deficiencies. Since that time, Paraguay has demonstrated progress in improving its AML/CFT regime,
including by enacting a law that criminalises terrorist financing on 23 June 2010, which needs to be analysed by the
FATF, and adopting a regulation to develop controls for cross-border cash transactions on 17 June 2010. However, the
FATF has determined that certain strategic AML/CFT deficiencies remain. Paraguay should continue to work on
implementing its action plan to address these deficiencies, including by: (1) ensuring adequate criminalisation of terrorist
financing (Special Recommendation II); (2) establishing and implementing adequate procedures to identify, freeze and
confiscate terrorist assets (Special Recommendation III); (3) improving financial transparency (Recommendation 4); (4)
improving and broadening customer due diligence measures (Recommendation 5), and (5) implementing effective
controls for cross-border cash transactions (Special Recommendation IX). The FATF encourages Paraguay to address
its remaining deficiencies and continue the process of implementing its action plan.
Qatar
In February 2010, Qatar made a high-level political commitment to work with the FATF and MENAFATF to address its
strategic AML/CFT deficiencies. Since that time, Qatar has demonstrated progress in improving its AML/CFT regime,
including by enacting a new AML/CFT law, issuing revised AML/CFT regulations for the financial sector, and providing
guidance on the suspicious transaction reporting requirements. The FATF and MENAFATF will 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.
Sri Lanka
In February 2010, Sri Lanka made a high-level political commitment to work with the FATF and APG to address its
strategic AML/CFT deficiencies. Since that time, Sri Lanka has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic AML/CFT deficiencies remain. Sri Lanka should continue to
work on implementing its action plan to address these deficiencies, including by: (1) adequately criminalising money
laundering and terrorist financing (Recommendation 1 and Special Recommendation II); and (2) establishing and
implementing adequate procedures to identify and freeze terrorist assets (Special Recommendation III). The FATF
encourages Sri Lanka to address its remaining deficiencies and continue the process of implementing its action plan.
Sudan
In February 2010, Sudan made a high-level political commitment to work with the FATF and MENAFATF to address its
strategic AML/CFT deficiencies. Since that time, Sudan has demonstrated progress in improving its AML/CFT regime,
including by taking initial steps to operationalise the FIU. However, the FATF has determined that certain strategic
AML/CFT deficiencies remain. Sudan should continue to work on implementing its action plan to address these
deficiencies, including by: (1) implementing adequate procedures for identifying and freezing terrorist assets (Special
Recommendation III); (2) ensuring a fully operational and effectively functioning Financial Intelligence Unit
(Recommendation 26); (3) ensuring financial institutions are aware of and comply with their obligations to file suspicious
transaction reports in relation to ML and FT (Recommendation 13 and Special Recommendation IV) and (4)
implementing a supervisory programme for the regulators to ensure compliance with the provisions of the new law and
regulations (Recommendation 23). The FATF encourages Sudan to address its remaining deficiencies and continue the
process of implementing its action plan.
Syria
In February 2010, Syria made a high-level political commitment to work with the FATF and MENAFATF to address its
strategic AML/CFT deficiencies. Since that time, Syria has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic AML/CFT deficiencies remain. Syria should continue to work on
implementing its action plan to address these deficiencies, including by: (1) adopting adequate measures to implement
and enforce the 1999 International Convention for the Suppression of Financing of Terrorism (Special Recommendation
I); (2) adequately criminalising terrorist financing (Special Recommendation II); (3) implementing adequate procedures
for identifying and freezing terrorist assets (Special Recommendation III); (4) ensuring financial institutions are aware of
and comply with their obligations to file suspicious transaction reports in relation to ML and FT (Recommendation 13 and
Special Recommendation IV) and (5) adopting appropriate laws and procedures to provide mutual legal assistance
(Recommendations 36-38, Special Recommendation V). The FATF encourages Syria to address its remaining
deficiencies and continue the process of implementing its action plan.
Thailand
In February 2010, Thailand made a high-level political commitment to work with the FATF and APG to address its
strategic AML/CFT deficiencies. Since that time, Thailand has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic AML/CFT deficiencies remain. Thailand should continue to work
on implementing its action plan to address these deficiencies, including by: (1) adequately criminalising terrorist
financing (Special Recommendation II); (2) establishing and implementing adequate procedures to identify and freeze
terrorist assets (Special Recommendation III); and (3) further strengthening AML/CFT supervision (Recommendation
23). The FATF encourages Thailand to address its remaining deficiencies and continue the process of implementing its
action plan.
Trinidad and Tobago
In February 2010, Trinidad and Tobago made a high-level political commitment to work with the FATF and CFATF to
address its strategic AML/CFT deficiencies. Since that time, Trinidad and Tobago has demonstrated progress in
improving its AML/CFT regime; however, the FATF has determined that certain strategic AML/CFT deficiencies remain.
Trinidad and Tobago should continue to work on implementing its action plan to address these deficiencies, including
by: (1) implementing adequate procedures to identify and freeze terrorist assets without delay (Special
Recommendation III); (2) implementing adequate procedures for the confiscation of funds related to money laundering
(Recommendation 3); (3) ensuring a fully operational and effectively functioning FIU, including supervisory powers
(Recommendation 26). The FATF encourages Trinidad and Tobago to address its remaining deficiencies and continue
the process of implementing its action plan.
Turkey
In February 2010, Turkey made a high-level political commitment work with the FATF to address its strategic AML/CFT
deficiencies. Since that time, Turkey has demonstrated progress in improving its AML/CFT regime, including by drafting
CFT legislation. However, the FATF has determined that certain strategic AML/CFT deficiencies remain. Turkey should
continue to work on implementing its action plan to address these deficiencies, including by: (1) adequately criminalising
terrorist financing (Special Recommendation II); and (2) implementing an adequate legal framework for identifying and
freezing terrorist assets (Special Recommendation III). The FATF encourages Turkey to address its remaining
deficiencies and continue the process of implementing its action plan.
Turkmenistan
In June 2010, Turkmenistan made a high-level political commitment to work with the FATF and EAG to address its
strategic AML/CFT deficiencies. Turkmenistan has demonstrated progress in improving its AML/CFT regime, including by
adopting a law criminalising terrorist financing and enacting FIU and reporting regulations. However, the FATF has
determined that certain strategic AML/CFT deficiencies remain. Turkmenistan will work on implementing its action plan to
address these deficiencies, including by: (1) addressing the remaining issues with the criminalisation of money
laundering and terrorist financing (Recommendation 1 and Special Recommendation II), (2) implementing adequate
procedures to identify and freeze terrorist assets without delay (Special Recommendation III); (3) ensuring a fully
operational and effectively functioning FIU (Recommendation 26), (4) developing collaboration between the FIU and
domestic counterparts, including supervisory authorities, and (5) strengthening international cooperation. The FATF
encourages Turkmenistan to address its remaining deficiencies and continue the process of implementing its action plan.
Ukraine
In February 2010, Ukraine made a high-level political commitment to work with the FATF and MONEYVAL to address its
strategic AML/CFT deficiencies. Since that time, Ukraine has demonstrated progress in improving its AML/CFT regime,
including by enacting a new AML/CFT law. However, the FATF has determined that certain strategic AML/CFT
deficiencies remain. Ukraine should continue to work on implementing its action plan to address these deficiencies,
including by: (1) addressing remaining issues regarding criminalisation of money laundering and terrorist financing
(Recommendation 1 and Special Recommendation II); and (2) improving and implementing an adequate legal framework
for identifying and freezing terrorist assets (Special Recommendation III). The FATF encourages Ukraine to address its
remaining deficiencies and continue the process of implementing its action plan.
Yemen
In February 2010, Yemen made a high-level political commitment to work with the FATF and MENFATF to address its
strategic AML/CFT deficiencies. Since that time, Yemen has demonstrated progress in improving its AML/CFT regime;
however, the FATF has determined that certain strategic deficiencies remain. Yemen should continue to work on
implementing its action plan to address these deficiencies, including by: (1) adequately criminalising money laundering
(Recommendation 1); (2) establishing and implementing adequate procedures to identify and freeze terrorist assets
(Special Recommendation III); (3) issuing substantive guidance/instructions to reporting institutions with respect to their
ML/FT obligations (Recommendation 25); (4) developing the monitoring and supervisory capacity of the financial sector
supervisory authorities and the FIU, to ensuring compliance by financial institutions with their STR obligations, especially
in relation to FT (Recommendation 23); and (5) ensuring a fully operational and effectively functioning Financial
Intelligence Unit (Recommendation 26). The FATF encourages Yemen to address its remaining deficiencies and
continue the process of implementing its action plan
- To view previous FATF statement dated 18 February, 2010, please click here.