Advisory Information
FIN-2015-A002
Issued Date
Subject
Advisory on the FATF-Identified Jurisdictions with AML/CFT Deficiencies

On June 26, 2015, the Financial Action Task Force (FATF) updated its list of jurisdictions with strategic AML/CFT deficiencies. These changes may affect U.S. financial institutions’ obligations and risk-based approaches with respect to relevant jurisdictions.

As part of the FATF’s listing and monitoring process to ensure compliance with the international Anti-Money Laundering and Counter-Terrorist Financing (AML/CFT) standards, the FATF identifies certain jurisdictions as having strategic deficiencies in their AML/CFT regimes.1 These jurisdictions appear in two documents:2 (I) jurisdictions that are subject to the FATF’s call for countermeasures or are subject to Enhanced Due Diligence (EDD) due to their AML/CFTdeficiencies (referred to by the FATF as the ‘FATF Public Statement’) and (II) jurisdictions identified by the FATF to have AML/CFT deficiencies (referred to by the FATF as ‘Improving Global AML/CFT Compliance: On-going Process’). On June 26, FATF updated both of these documents. Financial institutions should consider these changes when reviewing their enhanced due diligence obligations and risk-based policies, procedures, and practices with respect to the jurisdictions noted below.

I. Jurisdictions that are subject to the FATF’s call for countermeasures or are subject to EDD due to their AML/CFT deficiencies

The FATF has indicated that the following jurisdictions have strategic deficiencies in their AML/CFT regimes and has called upon its members and urged all jurisdictions to (A) impose countermeasures or (B) consider the risk arising from each jurisdiction due to a lack of sufficient progress in addressing AML/CFT deficiencies. FinCEN is advising U.S. financial institutions to apply enhanceddue diligence for countries in category (B) (for additional details, see the FinCEN Guidance sectionbelow). Accordingly, all these jurisdictions are included in the FATF Public Statement.

Please click on each jurisdiction for additional information.

 

Summary of Changes to this List

 

II. Jurisdictions identified by the FATF as having AML/CFT deficiencies

The FATF has identified the following jurisdictions as having deficiencies in their AML/CFT regimes, for which they have developed an action plan with the FATF. Consequently, these jurisdictions are included in the following list of jurisdictions with AML/CFT deficiencies (as described in the FATF’s Improving Global AML/CFT Compliance: On-going Process document).

Please click on each jurisdiction for additional information.

Afghanistan, Angola, Bosnia and Herzegovina, Ecuador, Guyana, Iraq, Lao PDR, Panama, Papua New Guinea, Sudan, Syria, Uganda, and Yemen.

Summary of Changes to this List

 

  • Due to its significant progress in establishing the legal and regulatory framework to addressall or nearly all of its strategic AML/CFT deficiencies on a technical level, Indonesia has been removed from the FATF listing and monitoring process. This jurisdiction will work with its respective FATF-Style Regional Body as it continues to address the full range of AML/CFT issues identified as part of the mutual evaluation process.
  • Ecuador has made progress in substantially or largely addressing its FATF action plan and is now identified on this list, having moved from the FATF Public Statement (see Section I above).
  • Bosnia and Herzegovina has been identified and added to this list because of strategic deficiencies in its AML/CFT regime. This country has made a high-level political commitment to work with the FATF and its FATF-Style Regional Body to implement an action plan to address its strategic AML/CFT deficiencies.




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For Further Information

Additional questions or comments regarding the contents of this Advisory should be addressed to the FinCEN Resource Center at (800) 767-2825 or (703) 905-3591. Financial institutions wanting to report suspicious transactions that may relate to terrorist activity should call the Financial Institutions Toll-Free Hotline at (866) 556-3974 (7 days a week, 24 hours a day). The purpose of the hotline is to expedite the delivery of this information to law enforcement. Financial institutions should immediately report any imminent threat to local-area law enforcement officials.