FATF Report on Evolving Terrorist Financing Risks

The report warns of serious gaps in countries’ abilities to identify TF trends, with 69% of reviewed jurisdictions exhibiting major or structural deficiencies.

Key trends outlined in the report include:

➡️ Increasingly diverse methods of TF being used, facilitated by an evolving array of digital technologies;

➡️ The adaptation of TF methods to local contexts, using a broader range of sources to fund activities;

➡️ An increase to the risk posed by often younger, lone actors enabled by microfinancing and technology-enabled methods;

➡️ Inconsistent designations and proscriptions leading to challenges in tracing financial trails associated with terrorist attacks; and

➡️ Greater alignment between organised crime and TF schemes.

✅ Firms should review their TF risk assessment methodologies, incorporating the latest trends outlined in the report to robustly identify and mitigate the risk of TF.

💡 Plenitude’s Advisory & Transformation Service conducts Independent Assessments, helping clients to proactively identify and address control gaps and weaknesses. Visit our website for more information: https://www.plenitudeconsulting.com/services/advisory-and-transformation