About Financial Action Task Force:
- It is an independent intergovernmental body that develops and promotes policies to protect the global financial system against money laundering and terrorist financing.
- Origin:
- It was established in 1989 during the G7 Summit in Paris in response to a growing concern about money laundering.
- In 2001, its mandate expanded to include terrorism financing.
- Headquarters: Paris, France.
- Members: FATF members include 40 countries, including the United States, India, China, Saudi Arabia, Britain, Germany, France, and the EU as such.
- India became a member of FATF in 2010.
- In addition, over 200 jurisdictions around the world have committed to the FATF Recommendations through the global network of FSRBs and FATF memberships.
- FATF regularly publishes reports that raise awareness about the latest money laundering, terrorist financing, and proliferation financing techniques.
- Once a member, a country or organization must endorse and support the most recent FATF recommendations and commit to being evaluated by (and evaluating) other members.
- The FATF holds countries to account that do not comply with the FATF Standards.
- If a country repeatedly fails to implement FATF Standards, then it can be placed under the grey and black lists.
- The FATF recommendations are recognised as the global anti-money laundering (AML) and counter-terrorist financing (CFT) standard.
