The Financial Action Task Force (FATF) recently held its last Plenary under the German Presidency of Dr. Marcus Pleyer. Highlights from the Plenary are discussed below.
Notably, FATF members approved a report to help the real estate sector identify and mitigate ML in a risk-based manner. The members also finalized a targeted update on the implementation of the FATF requirements on virtual assets and virtual asset service providers (VASPs), particularly focusing on the FATF Travel Rule requiring VASPs to document the identities of the source and the beneficiary of virtual asset transfers.
Further, the FATF finalized a report discussing AML/CFT-related information sharing while maintaining data privacy. FATF also members discussed the development of a guidance to help countries implement revised FATF requirements, such as those related to beneficial ownership information. This will help ensure prompt execution of all changes.
Finally, it was communicated that under the leadership of the incoming President T. Raja Kumar of Singapore, the FATF will particularly focus on improving asset recovery and international cooperation in combating financial crime such as cyber fraud and ransomware. Another focus area will be the use of data analytics and public-private partnerships to strengthen current AML/CFT measures.