Key developments include:
➡️ Virtual Asset (VAs) Standards: The FATF agreed to accelerate the implementation of the FATF Standards on VAs in jurisdictions with “materially important” VA activity;
➡️ Fraud and Scam Compounds: FATF approved a report examining illicit financial flows linked to scam compounds, aiming to strengthen efforts to identify, disrupt and deprive criminal networks of illicit profits;
➡️ Grey List Removals: Bulgaria, Côte d’Ivoire, the Democratic Republic of the Congo and Monaco were removed from increased monitoring after successfully completing their Action Plans;
➡️ Concerns in progressFATF expressed significant concern over Vietnam’s pace of progress and warned that it will consider further steps if tangible improvements are not made by the next Plenary;
➡️ High-Risk Jurisdictions: FATF updated its statements on Myanmar and Iran, reinforcing calls to address fraud and scam activities, terrorist financing deficiencies and targeted financial sanctions requirements;
➡️ Mutual Evaluations: FATF adopted the mutual evaluation reports of Mexico and the United States under its new assessment methodology, with publication expected in December 2026 and timebound remediation roadmaps requiring key actions within three years;
➡️ Low-Capacity Countries: FATF agreed to introduce tailored mutual evaluations, enhanced assessor training and capacity-building measures to support more proportionate, risk-based implementation of standards; and
✅ Firms must ensure their country risk lists reflect the latest changes to the plenary Grey List. Additionally, firms with material exposure to Vietnam should take steps to understand the potential impact if the FATF takes additional measures against the jurisdiction in response to continue failings and poor progress.
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