FATF publishes new guidance to assist practitioners in assessing terrorist financing risk
The Financial Action Task Force (FATF) has published new guidance to assist practitioners, particularly those in lower capacity countries, in assessing terrorist financing risk at the jurisdiction level.
The FATF published late last week its Terrorist Financing Risk Assessment Guidance to help practitioners assess terrorist financing risk at the jurisdiction level by providing good approaches, relevant information sources and practical examples based on country experience.
The report builds on the 2013 FATF guidance on national money laundering and terrorist financing risk assessments, and draws on inputs from over 35 jurisdictions from across the FATF Global Network on their extensive experience and lessons learnt in assessing terrorist financing risk.
Recognising that there is no one-size-fits-all approach when assessing terrorist financing risk, FATF's guidance provides relevant information sources and considerations for different country contexts.
The report addresses:
- Key considerations when determining the relevant scope and governance of a terrorist financing risk assessment, and practical examples to overcome information sharing challenges related to terrorism and its financing;
- Examples of information sources when identifying terrorist financing threats and vulnerabilities, and considerations for specific country contexts (e.g. financial and trade centres, lower capacity jurisdictions, jurisdictions bordering a conflict zone etc);
- Relevant information sources for practitioners when identifying cross-border terrorist financing risks but also terrorist financing risks within the banking and money or value transfer sectors, and facing those non-profit organisations that fall within the FATF definition; and
- Good approaches for maintaining an up-to-date assessment of risk, and areas for further focus going forward.
Read the full report here.