Financial Crime World

Financial Crime Escalates in Afghanistan: FATF Issues Stark Warning

The Financial Action Task Force (FATF) has sounded a dire warning about the growing threat of financial crime in Afghanistan, citing an increasingly complex money laundering and terrorist financing risk environment.

FATF’s Concerns

  • The international body responsible for setting global standards against money laundering and terror financing is deeply concerned about the current situation in Afghanistan.
  • The FATF echoed the United Nations Security Council’s stern rebuke of Afghanistan’s current situation, specifically citing UNSCR 2593 (2021), which demands that Afghan territory not be used as a haven for terrorist groups or to plan and finance attacks against other nations.

Calls for International Collaboration

  • The organization implored competent authorities worldwide to collaborate with their private sectors in assessing and mitigating emerging risks identified through the risk-based approach.
  • The FATF emphasized the critical need for international cooperation to address the threat of financial crime in Afghanistan.

Protecting Non-Profit Organizations and Humanitarian Actors

  • The FATF urged all jurisdictions to ensure that non-profit organizations (NPOs) and humanitarian actors can operate without hindrance or intimidation, while also conducting sustained outreach efforts consistent with the FATF Recommendations and respecting human rights.
  • The organization emphasized the need to safeguard NPOs and humanitarian actors from being exploited for terrorist financing purposes.

Global Efforts to Monitor and Mitigate Risks

  • The FATF has joined forces with APG, EAG, and the Global Network to closely monitor any changes in money laundering and terrorist financing risks emanating from Afghanistan.
  • The organization is prepared to consider all necessary measures to promote security, stability, and integrity within the international financial system.

As the global financial system remains under threat, it is essential that countries work together to address the growing menace of financial crime in Afghanistan. The FATF’s warning serves as a stark reminder of the urgent need for international cooperation and action to mitigate this escalating threat.