Title: Israel Joins FATF: Accelerating the Fight Against Financial Crimes
Israel’s Compliance with FATF Recommendations
- 10 December 2018, Paris
- Israel declared compliant following joint assessment by FATF and MONEYVAL
- Praise for progress, areas for improvement, especially in supervision and preventive measures
Israel’s Strategic Position against Financial Threats
- Unique geographic location increases risk of terrorist financing and money laundering
- Comprehensive AML/CFT policies and activities addressing identified risks
Early Detection and Effective Response
- Israeli authorities successful in identifying and combating terrorist financing activities
- Effective instruments and mechanisms, strong track record of prosecution and conviction
- Increased resources for registration and supervision of non-profit organizations needed
Effective Cooperation and International Engagement
- Close cooperation required for international money laundering investigations
- Israel demonstrates commitment to making and responding to international cooperation requests
- Challenges with delays in execution
Criminal Asset Recovery and Depriving Criminals of Illicit Gains
- EUR 24 million average annual confiscations
Strengthening Supervision and Preventive Measures
- Financial institutions and supervisors aware of risks, less so in money service business sector
- Increase in reporting unusual activities, improvements underway for supervision model
- AML/CFT framework lacking in real estate agents, precious metals dealers, trust/company service providers, lawyers, and accountants
Achieving Significant Progress
- FATF commendation for sound and effective AML/CFT system
- Understanding of risks, investigation and prosecution efforts, financial intelligence, asset deprivation, international cooperation
- Focus on introducing enhancements in supervision and preventive measures
Israel’s Journey to FATF Membership
- Satisfied FATF’s membership requirements
- Officially joined FATF in immediate effect
- Milestone ratified during FATF Plenary meeting in October 2018 and MONEYVAL’s meeting in December 2018.