The Financial Action Task Force (FATF) added Kuwait and Papua New Guinea to its ‘grey’ list of countries subject to increased monitoring regarding the countering of money laundering and terrorist financing (AML/CFT), on Friday 13 February, at its plenary meeting.
Both jurisdictions have committed to working with the FATF to strengthen the effectiveness of their AML/CFT regimes. In particular, Kuwait has to enhance outreach to estate agents and dealers in precious metals and stones on the reporting of suspicious transactions. Papua New Guinea has to improve risk-based supervision of banks, money transfer services and high-risk non-financial businesses and professions.
With regard to its ‘black’ list of high-risk jurisdictions, the FATF has updated its statement on Iran. Although the country has provided an update on its ratification of the United Nations Conventions against Transnational Organized Crime (Palermo Convention) and for the Suppression of the Financing of Terrorism (TF Convention), the FATF considered that Iran’s criteria for implementing these conventions did not comply with its standards. It also noted that Iran has not implemented the majority of its action plan since 2016.
These changes will be reflected in the next update of the EU list of high-risk AML/CFT jurisdictions. The latest update dates from December (see EUROPE 13766/18).
Giles Thomson, of the United Kingdom, will be the next President of the FATF, for a fixed two-year mandate. He will succeed Elisa de Anda Madrazo of Mexico in July. (Original version in French by Anne Damiani)