The Financial Action Task Force (FATF) releases the grey list.
The FATF is an intergovernmental organization established in 1989 to combat money laundering, terrorist financing, and other related threats to the integrity of the international financial system. As part of its mission, the FATF sets international standards and assesses countries' compliance with these standards.
Countries that are deemed to have strategic deficiencies in their measures to counter money laundering, terrorist financing, and proliferation financing are placed on the "grey list" (formally known as "Jurisdictions under Increased Monitoring"). This means the country has committed to resolving swiftly the identified strategic deficiencies within agreed timeframes and is subject to increased monitoring.
Key Aspects of the FATF Grey List:
- Purpose: To publicly identify jurisdictions with AML/CFT deficiencies and encourage them to improve their systems.
- Consequences: Grey listing can lead to increased scrutiny from international financial institutions, difficulty attracting foreign investment, and potential reputational damage.
- Process: The FATF reviews jurisdictions and determines whether they meet the criteria for being placed on the grey list. They then publicly announce which countries are on the list.
- Removal: A country is removed from the grey list once the FATF determines that it has substantially addressed its strategic deficiencies.
Therefore, the FATF is the authoritative body responsible for releasing and maintaining the grey list.
