International Monetary Fund (IMF)
The IMF’s role in AML/CFT efforts
The IMF’s engagement in AML/CFT dates from early 2001. During the past 10 years, the IMF’s efforts in this area helped shape international AML/CFT policies, and included over 70 AML/CFT assessments and a large number of technical assistance and research projects. The IMF’s broad experience in conducting financial sector assessments, providing technical assistance in the financial sector, and exercising surveillance over members’ economic systems has been particularly helpful in evaluating countries’ compliance with the international AML/CFT standard and in developing programs to help them address identified shortcomings.
The Fund’s AML/CFT program has evolved gradually in line with the international community‘s response to money laundering and terrorist financing and a growing recognition of the importance of these issues for the Fund. In 2004, the Executive Board agreed to make AML/CFT assessments and technical assistance a regular part of IMF work. In 2006, the Executive Board confirmed the general principle that every Financial Sector Assessment Program (FSAP) and Offshore Financial Center (OFC) assessment should incorporate a full AML/CFT assessment. The IMF has been a substantial contributor in this area, by cooperating with the FATF and the FSRBs, conducting AML/CFT assessments alongside the FATF’s and FSRBs’ peer evaluations of their members’ compliance with the FATF 40+9, providing technical assistance, and contributing to policy development and research.
On June 1, 2011, the Executive Board discussed a paper entitled “Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT)—Report on the Review of the Effectiveness of the Program” prepared by the IMF’s Legal Department. The report reviews the evolution of the Fund’s AML/CFT program during the past five years and discusses how the Fund could move forward in this area.
In 2009, the IMF launched a donor-supported trust fund—the first in a series of Topical Trust Funds (TTF)—to finance technical assistance in AML/CFT. Canada, France, Japan, Korea, Kuwait, Luxembourg, the Netherlands, Norway, Qatar, Saudi Arabia, Switzerland, and the United Kingdom have committed to collectively provide US$25.3 million over five years to the financing of the TTF to contribute to the strengthening of global AML/CFT regimes, using the Fund’s proven expertise and infrastructure. Two years and a half after the beginning of the TTF, projects were approved in 49 countries and 7 regional workshops have been undertaken. Moving forward, the TTF will continue to support AML/CFT technical assistance projects around the world
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