In a recent development, an intergovernmental group has included Croatia, Cameroon, and Vietnam in a worldwide watchlist that identifies countries with strategic weaknesses in their defenses against financial crimes. The group has also called upon nations to enhance their regulatory oversight of cryptocurrency platforms.

 

In a statement following a three-day summit in Paris, the Financial Action Task Force said that Croatia—the second EU nation ever to be gray-listed by the group—should increase the resources available to its financial intelligence unit, pursue more cross-border money laundering cases and implement a swath of other reforms.

 

Notably, FATF did not remove any countries from its existing gray list, which now comprises 26 nations. The summit also involved discussions on new guidelines for regulating virtual assets, revised standards pertaining to asset recovery, and measures to ensure access to financial services for legitimate nonprofit organizations. Additionally, the task force urged countries to bolster their regulatory supervision of cryptocurrency platforms, acknowledging the growing significance of these platforms in the financial landscape.

 

The Financial Action Task Force (FATF), an intergovernmental organization established in 1989, operates with the objective of combating money laundering, terrorist financing, and the proliferation of weapons of mass destruction. Comprising 39 member countries and 2 regional organizations, the FATF was initiated by the G7 group. Its main activities involve the development of policies and standards related to anti-money laundering (AML) and countering the financing of terrorism (CFT). Additionally, the organization conducts evaluations of countries to assess their compliance with FATF policies and standards