After each FATF Plenary meeting, usually held in February, June and
October each year, FATF publishes a list of jurisdictions that they have been identified as having strategic deficiencies in their AML/CFT systems.The list is currently divided into the following categories:
- High-Risk Jurisdictions subject to a Call for Action - High-risk jurisdictions have significant strategic deficiencies in their regimes to counter money laundering, terrorist financing, and financing of proliferation. For all countries identified as high-risk, the FATF calls on all members and urges all jurisdictions to apply enhanced due diligence, and in the most serious cases, countries are called upon to apply counter-measures to protect the international financial system from the ongoing money laundering, terrorist financing, and proliferation financing (ML/TF/PF) risks emanating from the country. This list is often externally referred to as the “black list”(as at February 2020 - North Korea and Iran).
- Jurisdictions under Increased Monitoring – Jurisdictions under increased monitoring are actively working with the FATF to address strategic deficiencies in their regimes to counter money laundering, terrorist financing, and proliferation financing. When the FATF places a jurisdiction under increased monitoring, it means the country has committed to resolve swiftly the identified strategic deficiencies within agreed time-frames and is subject to increased monitoring. This list is often externally referred to as the ‘grey list’.
The FATF and FATF-style regional bodies (FSRBs) continue to work with the jurisdictions and to report on the progress made in addressing the identified strategic deficiencies. The FATF calls on these jurisdictions to complete their agreed action plans expeditiously and within the proposed time-frames. The FATF welcomes their commitment and will closely monitor their progress.
As at February 2020 the list comprised Albania, The Bahamas, Barbados, Botswana, Cambodia, Ghana, Iceland, Jamaica,
Mauritius, Mongolia,Myanmar, Nicaragua, Pakistan, Panama, Syria,
Uganda, Yemen and Zimbabwe,
The FATF continues to identify additional jurisdictions on an on-going basis that have strategic deficiencies in their regimes to counter money laundering, terrorist financing, and proliferation financing. A number of jurisdictions have not yet been reviewed by the FATF and FSRBs.