Im p ro vin g Glo b a l AML/ CFT Co m p lia n ce : o n -go in g p ro ce s s - 16
Fe b ru a ry 2 0 12
Paris, 16 February 2012 - As part of it s on- going review of com pliance w it h t he AML/ CFT st andards, t he FATF has t o dat e ident ified t he follow ing j urisdict ions w hich have st rat egic AML/ CFT deficiencies for w hich t hey have developed an act ion plan w it h t he FATF . While t he sit uat ions differ am ong each j urisdict ion, each j urisdict ion has provided a w rit t en high- level polit ical com m it m ent t o address t he ident ified deficiencies. The FATF w elcom es t hese com m it m ent s.
A large num ber of j urisdict ions have not yet been review ed by t he FATF. The FATF cont inues t o ident ify addit ional j urisdict ions, on an on- going basis, t hat pose a risk t o t he int ernat ional financial syst em . The FATF has addit ionally begun init ial review s of a num ber of ot her j urisdict ions as part of t his process and w ill present it s findings lat er t his year.
The FATF and t he FSRBs w ill cont inue t o w ork w it h t he j urisdict ions not ed below and t o report on t he progress m ade in addressing t he ident ified deficiencies. The FATF calls on t hese j urisdict ions t o com plet e t he im plem ent at ion of act ion plans expedit iously and w it hin t he proposed t im efram es. The FATF w ill closely m onit or t he im plem ent at ion of t hese act ion plans and encourages it s m em bers t o consider t he inform at ion present ed below .
While t he FATF published t he revised FATF Recom m endat ions: “ I nt ernat ional St andards on
Com bat ing Money Laundering and t he Financing of Terrorism & Proliferat ion” on 16 February 2012, t he FATF has review ed t he ident ified j urisdict ions based on t he FATF 40+ 9 Recom m endat ions of 2003. Therefore, references t o specific Recom m endat ions or Special Recom m endat ions ( e.g. “ R.1” , “ SR.I I ” , et c.) in t his docum ent refer t o t he FATF 40+ 9 Recom m endat ions of 2003.
Alge ria
I n Oct ober 2011, Algeria m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and
MENAFATF t o address it s st rat egic AML/ CFT deficiencies. Since t hen, Algeria has t aken st eps t ow ards im proving it s AML/ CFT regim e, including by enact ing AML/ CFT legislat ion. How ever, t he FATF has not yet assessed t his legislat ion due t o it s very recent nat ure. The FATF w ill assess t his legislat ion, and, in any case, Algeria should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese
deficiencies, including by: ( 1) adequat ely crim inalising t errorist financing ( Special Recom m endat ions I and I I ) ; ( 2) est ablishing and im plem ent ing an adequat e legal fram ew ork for ident ifying, t racing and freezing t errorist asset s ( Special Recom m endat ion I I I ) , ( 3) im proving and broadening CDD m easures and ensuring t hat t hey apply t o all financial inst it ut ions ( Recom m endat ion 5) ; ( 4) ensuring a fully operat ional and effect ively funct ioning Financial I nt elligence Unit ( FI U) , in part icular addressing t he operat ional aut onom y of t he FI U and t he aut horit y of t he FI U t o request and access inform at ion ( Recom m endat ion 26) ; and ( 5) enact ing and im plem ent ing appropriat e m ut ual legal assist ance legislat ion ( Special Recom m endat ion V) . The FATF encourages Algeria t o address it s deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
An go la
I n June 2010, Angola m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF t o address it s st rat egic AML/ CFT deficiencies. Since Oct ober 2011, Angola has t aken st eps t ow ards im proving it s AML/ CFT regim e, including by enact ing a new AML/ CFT Law . How ever, t he FATF has det erm ined t hat cert ain st rat egic AML/ CFT deficiencies rem ain. Angola should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) adequat ely crim inalising m oney laundering and t errorist financing ( Recom m endat ion 1 and Special Recom m endat ion I I ) ; ( 2) ensuring a fully operat ional and effect ively funct ioning Financial I nt elligence Unit ( Recom m endat ion 26) ; and ( 3) est ablishing and im plem ent ing an adequat e legal fram ew ork t o ident ify and freeze t errorist asset s w it hout delay ( Special Recom m endat ion I I I ) . The FATF encourages Angola t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
I n February 2010, Ant igua and Barbuda m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and CFATF t o address it s st rat egic AML/ CFT deficiencies. Since Oct ober 2011, Ant igua and Barbuda has t aken st eps t ow ards im proving it s AML/ CFT regim e, including by finalising t he
m et hodology for it s supervisory program m e and m aking progress in t he regist rat ion and regulat ion of Co- operat ive Societ ies. How ever, t he FATF has det erm ined t hat cert ain st rat egic AML/ CFT deficiencies rem ain. Ant igua and Barbuda should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by cont inuing t o im prove t he overall supervisory fram ew ork
( Recom m endat ion 23) . The FATF encourages Ant igua and Barbuda t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
Arge n tin a
I n June 2011, Argent ina m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF t o address it s st rat egic AML/ CFT deficiencies. Since t hen, Argent ina has t aken st eps t ow ards im proving it s AML/ CFT regim e, including by enact ing legislat ion t hat significant ly im proves Argent ina’s crim inalisat ion of t errorist financing; and issuing FI U Resolut ions enhancing CDD m easures for t he insurance, securit ies, and real est at e sect ors, and cooperat ives and m ut ual associat ions. How ever, t he FATF has
det erm ined t hat cert ain st rat egic AML/ CFT deficiencies rem ain. Argent ina should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) addressing t he rem aining deficiencies w it h regard t o t he crim inalisat ion of m oney laundering ( Recom m endat ion 1) ; ( 2)
est ablishing and im plem ent ing adequat e procedures for t he confiscat ion of funds relat ed t o m oney laundering and ident ifying and freezing t errorist asset s ( Recom m endat ion 3 and Special
Recom m endat ion I I I ) ; ( 3) enhancing financial t ransparency ( Recom m endat ion 4) ; ( 4) ensuring a fully operat ional and effect ively funct ioning Financial I nt elligence Unit and im proving suspicious t ransact ion report ing requirem ent s ( Recom m endat ion 13, Special Recom m endat ion I V and Recom m endat ion 26) ; ( 5) furt her enhancing t he AML/ CFT supervisory program m e for all financial sect ors ( Recom m endat ions 17, 23 and 29) ; ( 6) furt her im proving and broadening CDD m easures ( Recom m endat ion 5) ; and ( 7) est ablishing appropriat e channels for int ernat ional co- operat ion and ensuring effect ive im plem ent at ion ( Recom m endat ion 36, Recom m endat ion 40 and Special Recom m endat ion V) . The FATF encourages Argent ina t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
B a n gla d e s h
I n Oct ober 2010, Bangladesh m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and APG t o address it s st rat egic AML/ CFT deficiencies. Since Oct ober 2011, Bangladesh has t aken st eps t ow ards im proving it s AML/ CFT regim e, including by issuing t he Money Laundering Prevent ion Ordinance, 2012; an Ordinance t o am end t he Ant i Terrorism Act ( ATA) , 2009; and t he Mut ual Legal Assist ance Ordinance Crim inal Mat t ers, 2012. I n addit ion, Bangladesh has refram ed it s Volunt ary Tax Com pliance ( VTC) Program m e, by issuing a new St at ut ory Regulat ory Order ( SRO) , w hich rescinded t he previous VTC program m e t o address t he FATF concerns expressed in t he public st at em ent in t he Chairm an’s Sum m ary follow ing t he Oct ober 2011 plenary m eet ing. How ever, t he FATF has det erm ined t hat cert ain st rat egic AML/ CFT deficiencies rem ain. Bangladesh should cont inue t o w ork on
im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) adequat ely crim inalising m oney laundering and t errorist financing ( Recom m endat ion 1 and Special Recom m endat ion I I ) ; ( 2) est ablishing and im plem ent ing adequat e procedures t o ident ify and freeze t errorist asset s ( Special Recom m endat ion I I I ) ; ( 3) im plem ent ing adequat e procedures for t he confiscat ion of funds relat ed t o m oney laundering ( Recom m endat ion 3) ; ( 4) ensuring a fully operat ional and effect ively funct ioning Financial I nt elligence Unit ( Recom m endat ion 26) ; ( 5) im proving suspicious t ransact ion report ing requirem ent s ( Recom m endat ion 13 and Special Recom m endat ion I V) ; ( 6) im proving int ernat ional co-operat ion ( Recom m endat ion 36, Recom m endat ion 39 and Special Recom m endat ion V) ; and ( 7) issuing guidance t o capit al m arket s int erm ediaries t o effect ively ext end t he AML/ CFT obligat ions, including w it h regard t o t he VTC program ( Recom m endat ion 5) . The FATF encourages Bangladesh t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
B ru n e i D a ru s s a la m
I n June 2011, Brunei Darussalam m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and APG t o address it s st rat egic AML/ CFT deficiencies. The FATF has det erm ined t hat cert ain st rat egic AML/ CFT deficiencies rem ain. Brunei Darussalam should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) adequat ely crim inalising m oney laundering and t errorist financing ( Recom m endat ion 1 and Special Recom m endat ion I I ) ; ( 2) est ablishing and im plem ent ing adequat e procedures t o ident ify and freeze t errorist asset s ( Special Recom m endat ion I I I ) ; ( 3) est ablishing and im plem ent ing adequat e procedures for t he confiscat ion of funds relat ed t o m oney laundering ( Recom m endat ion 3) ; ( 4) im proving suspicious t ransact ion report ing requirem ent s ( Recom m endat ion 13 and Special Recom m endat ion I V) ; ( 5) ensuring a fully operat ional and
im plem ent ing appropriat e m ut ual legal assist ance legislat ion ( Recom m endat ion 36 and Special Recom m endat ion V) . The FATF encourages Brunei Darussalam t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
Ca m b o d ia
I n June 2011, Cam bodia m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and APG t o address it s st rat egic AML/ CFT deficiencies. The FATF has det erm ined t hat cert ain st rat egic AML/ CFT deficiencies rem ain. Cam bodia should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) adequat ely crim inalising m oney laundering and t errorist financing ( Recom m endat ion 1 and Special Recom m endat ion I I ) ; ( 2) est ablishing and im plem ent ing adequat e procedures t o ident ify and freeze t errorist asset s ( Special Recom m endat ion I I I ) ; ( 3) est ablishing and im plem ent ing adequat e procedures for t he confiscat ion of funds relat ed t o m oney laundering
( Recom m endat ion 3) ; ( 4) ensuring a fully operat ional and effect ively funct ioning Financial I nt elligence Unit ( Recom m endat ion 26) ; and ( 5) est ablishing and im plem ent ing effect ive cont rols for cross- border cash t ransact ions ( Special Recom m endat ion I X) . The FATF encourages Cam bodia t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
Kyrgyzs ta n
I n Oct ober 2011, Kyrgyzst an m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and EAG t o address it s st rat egic AML/ CFT deficiencies. The FATF has det erm ined t hat cert ain st rat egic AML/ CFT deficiencies rem ain. Kyrgyzst an should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) adequat ely crim inalising m oney laundering and t errorist financing ( Recom m endat ion 1 and Special Recom m endat ion I I ) ; ( 2) est ablishing and im plem ent ing an adequat e legal fram ew ork for ident ifying, t racing and freezing t errorist asset s ( Special Recom m endat ion I I I ) ; ( 3) est ablishing and im plem ent ing adequat e m easures for t he confiscat ion of funds relat ed t o m oney laundering ( Recom m endat ion 3) ; ( 4) est ablishing effect ive CDD m easures for all financial inst it ut ions ( Recom m endat ion 5) ; and ( 5) im plem ent ing an adequat e and effect ive AML/ CFT supervisory
program m e for all financial sect ors ( Recom m endat ion 23) . The FATF encourages Kyrgyzst an t o address it s deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
Mo n go lia
I n June 2011, Mongolia m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and APG t o address it s st rat egic AML/ CFT deficiencies. Since Oct ober 2011, Mongolia has t aken st eps t ow ards im proving it s AML/ CFT regim e, including by enhancing capacit y building of t he FI U and t he supervisory aut horit ies. How ever, t he FATF has det erm ined t hat st rat egic AML/ CFT deficiencies rem ain. Mongolia should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) adequat ely crim inalising m oney laundering and t errorist financing ( Recom m endat ion 1 and Special Recom m endat ion I I ) ; ( 2) est ablishing and im plem ent ing adequat e procedures t o ident ify and freeze t errorist asset s ( Special Recom m endat ion I I I ) ; ( 3) est ablishing adequat e procedures for t he confiscat ion of funds relat ed t o m oney laundering ( Recom m endat ion 3) ; ( 4) est ablishing suspicious t ransact ion report ing requirem ent s ( Recom m endat ion 13 and Special Recom m endat ion I V) ; and ( 5) dem onst rat ing effect ive regulat ion of m oney service providers. The FATF encourages Mongolia t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
Mo ro cco
I n February 2010, Morocco m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and MENAFATF t o address it s st rat egic AML/ CFT deficiencies. Since t hen, Morocco has dem onst rat ed progress in im proving it s AML/ CFT regim e, including by adopt ing am endm ent s t o ext end t he scope of t he m oney laundering and t errorist financing offences; t o broaden cust om er due diligence
requirem ent s and t aking st eps t o operat ionalise t he Financial I nt elligence Unit . How ever, t he FATF has det erm ined t hat cert ain st rat egic AML/ CFT deficiencies rem ain. Morocco should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by adequat ely crim inalising t errorist financing ( Special Recom m endat ion I I ) .
N a m ib ia
AML/ CFT supervisory program m e w it h sufficient pow ers ( Recom m endat ion 23 and 29) ; ( 4) ensuring a fully operat ional and effect ively funct ioning Financial I nt elligence Unit ( FI U) , in part icular addressing t he operat ional aut onom y of t he FI U ( Recom m endat ion 26) ; ( 5) im plem ent ing effect ive, proport ionat e and dissuasive sanct ions in order t o deal w it h non - com pliance w it h t he nat ional AML/ CFT
requirem ent s ( Recom m endat ion 17) ; and ( 6) im plem ent ing t he 1999 I nt ernat ional Convent ion for t he Suppression of Financing of Terrorism ( Special Recom m endat ion I ) . The FATF encourages Nam ibia t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
N e p a l
I n February 2010, Nepal m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and APG t o address it s st rat egic AML/ CFT deficiencies. The FATF has det erm ined t hat cert ain st rat egic AML/ CFT deficiencies rem ain. Nepal should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) adequat ely crim inalising m oney laundering and t errorist financing ( Recom m endat ion 1 and Special Recom m endat ion I I ) ; ( 2) est ablishing and im plem ent ing adequat e procedures t o ident ify and freeze t errorist asset s ( Special Recom m endat ion I I I ) ; ( 3) im plem ent ing adequat e procedures for t he confiscat ion of funds relat ed t o m oney laundering ( Recom m endat ion 3) ; ( 4) enact ing and im plem ent ing appropriat e m ut ual legal assist ance legislat ion ( Recom m endat ion 36) ; ( 5) ensuring a fully operat ional and effect ively funct ioning Financial I nt elligence Unit
( Recom m endat ion 26) and ( 6) est ablishing adequat e STR report ing obligat ions for ML and FT ( Recom m endat ion 13 and Special Recom m endat ion I V) . The FATF encourages Nepal t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
N ica ra gu a
I n June 2011, Nicaragua m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and CFATF t o address it s st rat egic AML/ CFT deficiencies. Since t hen, Nicaragua has t aken st eps t ow ards im proving it s AML/ CFT regim e, including by ent ering int o force legislat ion t o regulat e t he m icrofinance indust ry. How ever, t he FATF has det erm ined t hat cert ain st rat egic AML/ CFT deficiencies rem ain. Nicaragua should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) est ablishing effect ive CDD m easures and record - keeping requirem ent s, in part icular ent it ies not current ly regulat ed by t he supervisory aut horit y ( Recom m endat ion 5 and Recom m endat ion 10) ; ( 2) est ablishing adequat e STR report ing obligat ions for ML and FT ( Recom m endat ion 13 and Special Recom m endat ion I V) ; ( 3) im plem ent ing an adequat e AML/ CFT supervisory program m e for all financial sect ors ( Recom m endat ion 23) ; ( 4) ensuring a fully operat ional and effect ively funct ioning Financial I nt elligence Unit ( Recom m endat ion 26) ; and ( 5) est ablishing adequat e procedures for ident ifying and freezing t errorist asset s ( Special Recom m endat ion I I I ) . The FATF encourages Nicaragua t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
S u d a n
I n February 2010, Sudan m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and
MENAFATF t o address it s st rat egic AML/ CFT deficiencies. Since Oct ober 2011, Sudan has t aken st eps t ow ards im proving it s AML/ CFT regim e, including by int roducing an inspect ion program m e for banks. How ever, t he FATF has det erm ined t hat cert ain st rat egic AML/ CFT deficiencies rem ain. Sudan should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) im plem ent ing adequat e procedures for ident ifying and freezing t errorist asset s ( Special
Recom m endat ion I I I ) ; ( 2) ensuring a fully operat ional and effect ively funct ioning Financial I nt elligence Unit ( Recom m endat ion 26) ; and ( 3) ensuring an effect ive supervisory program m e for AML/ CFT com pliance ( Recom m endat ion 23) . The FATF encourages Sudan t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
Ta jikis ta n
rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
Tu rkm e n is ta n
I n June 2010, Turkm enist an m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and EAG t o address it s st rat egic AML/ CFT deficiencies. Since t hat t im e, Turkm enist an has dem onst rat ed progress in im proving it s AML/ CFT regim e, including by adopt ing legislat ion t o crim inalising t errorist financing and m oney laundering, passing legislat ion t o im prove CDD m easures, est ablishing a legal fram ew ork t o freeze t errorist asset s, and w orking t o build up it s Financial I nt elligence Unit . The FATF w ill conduct an on- sit e visit t o confirm t hat t he process of im plem ent ing t he required reform s and act ions is underw ay t o address deficiencies previously ident ified by t he FATF.
Trin id a d a n d To b a go
I n February 2010, Trinidad and Tobago m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and CFATF t o address it s st rat egic AML/ CFT deficiencies. The FATF has det erm ined t hat cert ain
st rat egic AML/ CFT deficiencies rem ain. Trinidad and Tobago should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) im plem ent ing adequat e procedures t o ident ify and freeze t errorist asset s w it hout delay ( Special Recom m endat ion I I I ) ; and ( 2) ensuring a fully operat ional and effect ively funct ioning Financial I nt elligence Unit , including supervisory pow ers ( Recom m endat ion 26) . The FATF encourages Trinidad and Tobago t o address it s rem aining
deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
Ve n e zu e la
I n Oct ober 2010, Venezuela m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and CFATF t o address it s st rat egic AML/ CFT deficiencies. Since t hen, Venezuela has t aken st eps t ow ards
im proving it s AML/ CFT regim e, including by approving AML/ CFT am endm ent s. How ever, t he FATF has det erm ined t hat cert ain st rat egic deficiencies rem ain. Venezuela should cont inue t o w ork on
im plem ent ing it s act ion plan t o address t he rem aining st rat egic deficiencies, including by: ( 1) adequat ely crim inalising t errorist financing ( Special Recom m endat ion I I ) ; ( 2) est ablishing and
im plem ent ing adequat e procedures t o ident ify and freeze t errorist asset s ( Special Recom m endat ions I and I I I ) ; ( 3) ensuring a fully operat ional and effect ively funct ioning Financial I nt elligence Unit
( Recom m endat ion 26) ; ( 4) im plem ent ing adequat e CDD guidelines for all sect ors ( Recom m endat ion 5) ; and ( 5) est ablishing adequat e suspicious t ransact ion report ing ( STR) obligat ions for m oney laundering and financing of t errorism ( Recom m endat ion 13 and Special Recom m endat ion I V) . The FATF encourages Venezuela t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
Zim b a b w e
I n June 2011, Zim babw e m ade a high- level polit ical com m it m ent t o w ork w it h t he FATF and ESAAMLG t o address it s st rat egic AML/ CFT deficiencies. The FATF has det erm ined t hat st rat egic AML/ CFT
deficiencies rem ain. Zim babw e should cont inue t o w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) adequat ely crim inalising m oney laundering and t errorist financing ( Recom m endat ion I and Special Recom m endat ion I I ) ; ( 2) est ablishing and im plem ent ing adequat e procedures t o ident ify and freeze t errorist asset s ( Special Recom m endat ion I I I ) ; ( 3) ensuring a fully operat ional and effect ively funct ioning Financial I nt elligence Unit ( Recom m endat ion 26) ; ( 4) ensuring t hat financial inst it ut ions are aw are of and com ply w it h t heir obligat ions t o file suspicious t ransact ion report s in relat ion t o m oney laundering and t he financing of t errorism ( Recom m endat ion 13 and Special Recom m endat ion I V) ; ( 5) enact ing and im plem ent ing appropriat e m ut ual legal assist ance legislat ion ( Special Recom m endat ion V) ; and ( 6) im plem ent ing t he 1999 I nt ernat ional Convent ion for t he Suppression of Financing of Terrorism ( Special Recom m endat ion I ) . The FATF encourages
Zim babw e t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
H o n d u ra s
The FATF w elcom es Honduras’ significant progress in im proving it s AML/ CFT regim e and not es t hat Honduras has largely m et it s com m it m ent s in it s Act ion Plan regarding t he st rat egic deficiencies t hat t he FATF had ident ified in February 2010. Honduras is t herefore no longer subj ect t o FATF’s
m onit oring process under it s on- going global AML/ CFT com pliance process. Honduras w ill w ork w it h CFATF as it cont inues t o address t he full range of AML/ CFT issues ident ified in it s Mut ual Evaluat ion Report , and furt her st rengt hen it s AML/ CFT regim e.
P a ra gu a y
m onit oring process under it s on- going global AML/ CFT com pliance process. Paraguay w ill w ork w it h GAFI SUD as it cont inues t o address t he full range of AML/ CFT issues ident ified in it s Mut ual
Evaluat ion Report , part icularly regarding furt her im plem ent at ion of Special Recom m endat ion VI and Special Recom m endat ion I X.
J u ris d ictio n n o t m a kin g s u fficie n t p ro gre s s
The FATF is not yet sat isfied t hat t he follow ing j urisdict ions have m ade sufficient progress on t heir act ion plan agreed upon w it h t he FATF. The m ost significant act ion plan it em s and/ or t he m aj orit y of t he act ion plan it em s have not been addressed. I f t hese j urisdict ions do not t ake sufficient act ion t o im plem ent significant com ponent s of t heir act ion plan by June 2012, t hen t he FATF w ill ident ify t hese j urisdict ions as being out of com pliance w it h t heir agreed act ion plans and w ill t ake t he addit ional st ep of calling upon it s m em bers t o consider t he risks arising from t he deficiencies associat ed w it h t he j urisdict ion.
Ecu a d o r
Ecuador has t aken st eps t o im prove it s AML/ CFT regim e, including by t abling draft am endm ent s t o it s CFT legislat ion. Despit e Ecuador’s high- level polit ical com m it m ent t o w ork w it h t he FATF and GAFI SUD t o address it s st rat egic AML/ CFT deficiencies, t he FATF is not yet sat isfied t hat Ecuador has m ade sufficient progress in im plem ent ing it s act ion plan, and cert ain st rat egic AML/ CFT deficiencies rem ain. Ecuador should w ork w it h t he FATF and GAFI SUD on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) ensuring adequat e crim inalisat ion of t errorist financing ( Special Recom m endat ion I I ) ; ( 2) est ablishing and im plem ent ing adequat e procedures t o ident ify and freeze t errorist asset s ( Special Recom m endat ion I I I ) ; ( 3) im plem ent ing adequat e procedures for t he confiscat ion of funds relat ed t o m oney laundering ( Recom m endat ion 3) ; and ( 4) reinforcing and im proving co- ordinat ion of financial sect or supervision ( Recom m endat ion 23) . The FATF encourages Ecuador t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan and encourages Ecuador t o pass it s recent ly t abled CFT legislat ion.
P h ilip p in e s
The Philippines has m ade effort s t o im prove it s AML/ CFT syst em w it h t w o bills in t he Senat e on m oney laundering and t errorist financing cert ified urgent by t he President w hich are aw ait ing passage. Despit e t he Philippines’ high- level polit ical com m it m ent t o w ork w it h t he FATF and APG t o address it s st rat egic AML/ CFT deficiencies, t he FATF is not yet sat isfied t hat t he Philippines has m ade sufficient progress in im plem ent ing it s act ion plan, and cert ain st rat egic AML/ CFT deficiencies rem ain. The Philippines should w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) adequat ely crim inalising m oney laundering and t errorist financing ( Recom m endat ion 1 and Special Recom m endat ion I I ) ; ( 2) im plem ent ing adequat e procedures t o ident ify and freeze t errorist asset s and confiscat e funds relat ed t o m oney laundering ( Special Recom m endat ion I I I and
Recom m endat ion 3) ; ( 3) enhancing financial t ransparency ( Recom m endat ion 4) ; and ( 4) ext ending coverage of report ing ent it ies ( Recom m endat ion 12 and Recom m endat ion 16) . The FATF encourages t he Philippines t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan. I n part icular, t he FATF st rongly encourages t he Philippines t o enact t he pending legislat ive am endm ent s t o it s AML/ CFT regim e.
Vie tn a m
Viet nam has issued an enforceable I nt er - Minist erial Circular in relat ion t o m oney laundering. Despit e Viet nam ’s high- level polit ical com m it m ent t o w ork w it h t he FATF and APG t o address it s st rat egic AML/ CFT deficiencies, t he FATF is not yet sat isfied t hat Viet nam has m ade sufficient progress in im plem ent ing it s act ion plan, and cert ain st rat egic AML/ CFT deficiencies rem ain. Viet nam should cont inue t o w ork w it h t he FATF and APG on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) adequat ely crim inalising m oney laundering and t errorist financing ( Recom m endat ion 1 and Special Recom m endat ion I I ) ; ( 2) est ablishing and im plem ent ing adequat e procedures t o ident ify and freeze t errorist asset s ( Special Recom m endat ion I I I ) ; ( 3) m aking legal persons subj ect t o crim inal liabilit y in line w it h FATF Recom m endat ion 2 or dem onst rat ing t hat t here is a const it ut ional prohibit ion t o prevent t his; ( 4) im proving t he overall supervisory fram ew ork ( Recom m endat ion 23) ; ( 5) im proving and broadening cust om er due diligence m easures and
report ing requirem ent s ( Recom m endat ion 5, Recom m endat ion 13, and Special Recom m endat ion I V) ; and ( 6) st rengt hening int ernat ional co- operat ion ( Recom m endat ions 36, 40) . The FATF encourages Viet nam t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
Ye m e n
Despit e Yem en’s high- level polit ical com m it m ent t o w ork w it h t he FATF and MENAFATF t o address it s st rat egic AML/ CFT deficiencies, t he FATF is not yet sat isfied t hat Yem en has m ade sufficient progress in im plem ent ing it s act ion plan and cert ain st rat egic AML/ CFT deficiencies rem ain. Yem en should w ork on im plem ent ing it s act ion plan t o address t hese deficiencies, including by: ( 1) adequat ely crim inalizing m oney laundering and t errorist financing ( Recom m endat ion 1 and Special
ensure com pliance by financial inst it ut ions w it h t heir suspicious t ransact ion report ing ( STR) obligat ions, especially in relat ion t o t he financing of t errorism ( Recom m endat ion 23) ; and ( 4) ensuring a fully operat ional and effect ively funct ioning FI U ( Recom m endat ion 26) . The FATF
encourages Yem en t o address it s rem aining deficiencies and cont inue t he process of im plem ent ing it s act ion plan.
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