FATF Full Form
FATF Full Form-What is the FATF aand Why Should You Care? FATF also known by its French name, Groupe d’action financière, is an intergovernmental organisation founded in 1989
FATF Full Form
|Financial Action Task Force|
FAQs About FATF:
The Financial Action Task Force, also known by its French name, Groupe d'action financière, is an intergovernmental organisation founded in 1989 with a mission to combat money laundering and terrorist financing. The FATF was initially a response to the Bank Secrecy Act and the Money Laundering Control Act of 1970. Both US laws allowed the US to freeze assets of people who were suspected of money laundering, but did not address how authorities should identify, or take reasonable measures to prevent, financial crimes such as tax evasion, smuggling, or terrorism financing.
The primary objective of the FATF is to contribute to the prevention of money laundering, terrorist financing and other related threats to the integrity of the international financial system. The FATF has worked for the past 26 years to help countries build effective anti-money laundering and counterterrorism financing regimes Since 2005, the FATF has been working with a United Nations programme, the Financial Action Task Force (FATF)/Combating the Financing of Terrorism (CFT) to strengthen the global response to the threat posed by terrorist financing. What are the consequences of not doing enough to stop money laundering? Financial crime, including the financing of terrorist organisations, undermines the integrity of the international financial system.
The FATF has nine regional groups that assist member countries in implementing measures against money laundering and terrorist financing. The FATF has been instrumental in establishing regulations that have been adapted by other groups such as the G20, the Organisation for Economic Co-operation and Development, and the European Union. The FATF operates on a five-year cycle. Starting in January 2015, it was due to begin reviewing the UAE's anti-money laundering and terrorism financing regime. While the FATF stressed that the UAE has taken important steps in this area, it said that it needs to improve its governance and enforcement in order to comply with international standards.
The FATF's membership consists of 51 countries and territories, three intergovernmental organisations, and three regional organisations Membership is for states whose commitment to strengthen the fight against money laundering and terrorist financing is assessed as satisfactory or is having satisfactory efforts in place Does the FATF have a specific role for the UAE? Yes Most of the FATF members, including the UAE, are advanced economies with advanced economies having a presence within the organisation. Therefore, the UAE will be discussing counter-terrorism efforts with members that are not major powers in the field. However, that is not to say that the UAE does not have any responsibilities towards non-FATF members.