Black and Grey Lists

The Financial Action Task Force (FATF) identifies jurisdictions with inadequate measures to combat money laundering and terrorist financing (AML/CFT) through two public documents issued triannually. This process of public listing has been demonstrably effective. By June 2024, the FATF had evaluated 133 countries and jurisdictions, publicly identifying 108 with deficiencies. Of these, 84 have since implemented necessary reforms and have been delisted.

High-Risk Jurisdictions Subject to a Call for Action (i.e., “blacklist”)

This document, formerly known as the “Public Statement,” identifies countries or jurisdictions with severe strategic deficiencies in countering money laundering, terrorist financing, and proliferation financing. For all high-risk countries identified, the FATF urges members and other jurisdictions to apply enhanced due diligence. In the most severe cases, countries are advised to implement counter-measures to protect the international financial system from the risks posed by these jurisdictions. This is colloquially referred to as the blacklist.

Other Analogous Organizations and Lists

In addition to FATF, other international bodies and regional organizations maintain similar lists to monitor and combat money laundering and terrorist financing. Notable among these are:

1. MONEYVAL (Council of Europe)

MONEYVAL evaluates AML/CFT measures in European countries that are not members of the FATF. It issues reports and public statements identifying countries with strategic deficiencies.

• High-Risk and Non-Cooperative Jurisdictions:
• Similar to FATF’s blacklist.
• Jurisdictions Under Increased Monitoring:
• Comparable to FATF’s grey list.

 
2. Asia/Pacific Group on Money Laundering (APG)
APG assesses AML/CFT systems in the Asia-Pacific region and publishes mutual evaluation reports.

 • Public Statements and Follow-Up Reports:
 • High-Risk Jurisdictions.
 • Jurisdictions with Strategic Deficiencies.
 
3. Caribbean Financial Action Task Force (CFATF)
CFATF monitors Caribbean nations, issuing public notices about non-compliant jurisdictions.
 • Public Statements:
 • Countries with AML/CFT deficiencies.
 • Monitoring and Follow-Up:
 • Countries under increased scrutiny.
 
4. Inter-Governmental Action Group against Money Laundering in West Africa (GIABA)
GIABA evaluates AML/CFT measures in West African nations, providing similar public notices and reports.
 
5. Eastern and Southern Africa Anti-Money Laundering Group (ESAAMLG)
ESAAMLG oversees AML/CFT compliance in Eastern and Southern African countries, issuing evaluation reports and public notices.

To explore more about FATF’s global network and the membership of its regional partners, one can access detailed information on the respective official websites of these organizations.

Basel AML List

Basel Institute on Governance (Basel AML Index)

Description: The Basel AML Index is an annual ranking of countries based on their risk levels related to money laundering and terrorist financing. It assesses countries’ AML/CFT frameworks, corruption levels, political transparency, and other factors that contribute to financial crime risk.

Countries: The index includes all countries, ranked from highest to lowest risk, typically with a focus on those considered high risk.

• Examples of High-Risk Countries (2023): Afghanistan, Haiti, Mozambique, Madagascar.

European Union (EU) AML Blacklist

Description: The European Union maintains its own list of high-risk third countries that have strategic deficiencies in their AML/CFT frameworks. This list often mirrors the FATF’s black/grey lists but may include additional countries that the EU assesses as not meeting its specific criteria.

Countries: The EU list is updated regularly and includes countries identified by both the FATF and the European Commission.

• Examples (as of 2024): Afghanistan, North Korea, Iran, Myanmar, South Sudan.

US Department of the Treasury – Office of Foreign Assets Control (OFAC) Sanctions Lists

 Description: While not specifically focused on AML/CFT, the OFAC maintains lists of countries, entities, and individuals subject to sanctions, often due to concerns related to terrorism financing, money laundering, and other illicit financial activities.

Countries: The Specially Designated Nationals (SDN) and Blocked Persons List includes entities and individuals, and there are also specific country-based sanctions.

•  Examples: Iran, North Korea, Syria, and Venezuela, among others.

Asia/Pacific Group on Money Laundering (APG)

Description: APG is a FATF-style regional body (FSRB) that assesses its member states’ compliance with international AML/CFT standards. While it doesn’t publish a formal blacklist, its mutual evaluations can identify countries with deficiencies.

Countries: APG covers the Asia-Pacific region, and countries with major deficiencies are often reported in conjunction with FATF’s grey/black lists.

•  Examples: Pakistan, Cambodia (historically assessed).

Caribbean Financial Action Task Force (CFATF)

Description: Another FATF-style regional body, CFATF, assesses AML/CFT compliance among its members in the Caribbean region. It works closely with FATF but may include countries with deficiencies in its own evaluations.
 
Countries: Caribbean nations are its focus, but non-compliant countries are reported globally.

•  Examples: Some nations assessed by CFATF include Haiti, Trinidad and Tobago.