Financial Action Task Force

The Financial Action Task Force (FATF) is an inter-governmental body which sets international standards, with the aim of preventing money laundering and the financing of terrorism and the harm they cause to society. The FATF also work to stop funding for weapons of mass destruction.

The FATF has developed the FATF Recommendations which ensure a co-ordinated global response to prevent organised crime, corruption and terrorism. The FATF regularly publish non-binding guidance and best practice documentation to assist jurisdictions implement the FATF Recommendations.

All documents are available from the FATF website: FATF Guidance. In addition, the table below sets out the guidance highlighted by the FATF Methodology:

Relevant FATF Standards/Methodology	Guidance
Methodology introduction - Risk-based approach	Guidance on risk-based supervision (4 March 2021) Guidance for a risk-based approach for legal professionals (26 Jun 2019) Guidance for a risk-based approach for the accounting profession (26 Jun 2019) Guidance for a risk-based approach for trust and company service providers (26 Jun 2019) Guidance for a risk-based approach: life insurance sector (29 Oct 2018) Guidance for a risk-based approach: securities sector (29 Oct 2018) Guidance for a risk-based approach: money or value transfer services (23 Feb 2016) Guidance for a risk-based approach: effective supervision and enforcement by AML/CFT supervisors of the financial sector and law enforcement (23 Oct 2015) Guidance for a risk-based approach: virtual currencies (26 June 2015) Guidance for a risk-based approach: the banking sector (27 Oct 2014) Guidance for a risk-based approach: prepaid cards, mobile payments and internet-based payment services (26 June 2013)
Methodology Introduction - Corruption	Best practices paper: the use of the FATF Recommendations to combat corruption (18 Oct 2013)
Recommendation 1 Assessing risks and applying a risk based approach	Guidance on Proliferation Financing Risk Assessment and Mitigation (29 June 2021) National money laundering and terrorist financing risk assessment (05 Mar 2013) Terrorist financing risk assessment guidance (05 Jul 2019)
Recommendation 2 National co-operation and co-ordination Recommendation 7 Targeted financial sanctions related to proliferation	Best practices paper on Recommendation 2: sharing among domestic competent authorities information related to the financing of proliferation (07 Mar 2012)
Recommendation 4 Confiscation and provisional measures Recommendation 38 Freezing and confiscation	Best practices on confiscation (Recommendations 4 and 38) and a framework for ongoing work on asset recovery (19 Oct 2012)
Recommendation 5 Terrorist financing offence	Guidance on criminalising terrorist financing (21 Oct 2016)
Recommendation 6 Targeted financial sanctions related to terrorism and terrorist financing	International best practices: targeted financial sanctions related to terrorism and terrorist financing (Recommendation 6) (28 June 2013)
Recommendation 7 Targeted financial sanctions related to proliferation	FATF guidance on counter proliferation financing - The implementation of financial provisions of United Nations security council resolutions to counter the proliferation of weapons of mass destruction (28 Feb 2018)
Recommendation 8 Non-profit organisations (NPOs)	Best practices on combating the abuse of non-profit organisations (26 Jun 2015)
Recommendation 10 Customer due diligence (CDD)	Guidance on digital ID (6 March 2020)
Recommendation 12 Politically Exposed Persons (PEPs) Recommendation 22 Designated non-financial businesses and professions (DNFBPs): customer due diligence	FATF guidance: Politically Exposed Persons (Recommendations 12 and 22) (27 Jun 2013)
Recommendation 13 Correspondent banking	Guidance on correspondent banking Services (21 Oct 2016)
Recommendation 15 New technologies	Guidance on risk-based approach to virtual assets and virtual asset service providers (28 October 2021) Guidance for a risk-based approach to virtual assets and virtual asset service providers (21 Jun 2019)
Recommendation 18 Internal controls and foreign branches and subsidiaries Recommendation 21 Tipping-off and confidentiality	FATF guidance - private sector information (04 Nov 2017)
Recommendation 24 Transparency and beneficial ownership of legal persons Recommendation 25 Transparency and beneficial ownership of legal arrangements Methodology Immediate Outcome 5 Legal persons and arrangements are prevented from misuse for money laundering or terrorist financing, and information on their beneficial ownership is available to competent authorities without impediments	Best practices on beneficial ownership for legal persons (16 October 2019) Guidance on transparency and beneficial ownership (27 Oct 2014)
Recommendation 30 Responsibilities of law enforcement and investigative authorities Recommendation 31 Powers of law enforcement and investigative authorities Methodology Immediate Outcome 7 Money laundering offences and activities are investigated and offenders are prosecuted and subject to effective, proportionate and dissuasive sanctions	Operational issues - financial investigations guidance (11 Jul 2012)
Recommendation 33 Statistics Methodology Effectiveness assessment	Guidance on AML/CFT-related data and statistics (27 Nov 2015)
Methodology Immediate Outcome 3 Supervisors appropriately supervise, monitor and regulate financial institutions and DNFBPs for compliance with AML/CFT requirements commensurate with their risks	Guidance for a risk-based approach: effective supervision and enforcement by AML/CFT supervisors of the financial sector and law enforcement (23 Oct 2015)
Methodology Immediate Outcome 4 Financial institutions and DNFBPs adequately apply AML/CFT preventive measures commensurate with their risks, and report suspicious transactions	FATF guidance on AML/CFT measures and financial inclusion, with a supplement on customer due diligence (04 Nov 2017)