U.S. Welcomes FATF's Actions Against Iranian Government

On Friday, February 23, the U.S. Department of the Treasury announced that the Financial Action Task Force (FATF), the global standard-setting body for combating money laundering, terrorist financing, and the proliferation of weapons of mass destruction, held a public meeting in Paris with representatives from the Treasury Department. U.S. Treasury Secretary Scott Basset stated that the United States welcomes the reaffirmation of FATF's countermeasures against the Islamic Republic of Iran due to the risk of terrorist financing from this country, as well as ongoing efforts to strengthen the international financial system against all sources of illegal financing. The statement noted that during this public meeting, which was the second session of the FATF chaired by Mexico, attendees discussed ongoing work regarding the risks of expanding support for terrorism and terrorist activities, financial inclusion, and domestic and cross-border payment standards, including agreeing to publish draft updates for public consultation. According to the U.S. Treasury Department, the FATF also agreed to publicly consult on an action that examines complex financing schemes for proliferation and evasion of sanctions. The department emphasized that it is 'eagerly' looking forward to engaging with the private sector for public consultation on these issues. In another part of the statement, it was mentioned that the FATF also approved changes to its recommendations that emphasized the importance of a risk-based approach to assessing and mitigating money laundering and terrorist financing risks, including ensuring that preventive or mitigating measures are proportionate to identified risks. The U.S. Treasury also stated that the FATF finalized its actions to help combat the sexual exploitation of children online, a heinous crime targeting some of the most vulnerable segments of society. A report related to this will soon be published, examining the participation of nearly 30 countries worldwide regarding various forms of financial extortion and direct abuse of children.