Japan’s Efforts to Combat Terrorist Financing Praised by Global Community

Japan’s Progress in Combating Terrorist Financing

Tokyo, Japan - In its latest report, Japan has demonstrated significant progress in combating terrorist financing, meeting several key criteria set forth by global authorities. The country has taken concrete steps to improve its financial sanctions regime and enhance cooperation with international partners.

Strengthened Procedures for Designating Targets for Sanctions

According to the report, Japan has strengthened its procedures for designating targets for sanctions, ensuring that relevant authorities provide as much identifying information as possible to support designation requests. This improvement was achieved through the adoption of new “Rules of Procedure” by the Ministry of Foreign Affairs (MoFA).

Enhanced Legal Authorities and Information Collection

Japan’s National Police Agency (NPA) and Public Security Intelligence Agency (PSIA), which are members of the International Association of Anti-Money Laundering Authorities (IAM), have also enhanced their legal authorities and mechanisms to collect information on persons and entities for designation under relevant United Nations Security Council resolutions.

Timely Implementation of Targeted Financial Sanctions

The country has revised its administrative procedures to implement targeted financial sanctions related to terrorism within 24 hours, without delay. Japan has abolished the procedural step requiring coordination among MoFA divisions and other ministries and agencies, and provides a list of UN designations and updates to demonstrate its commitment to implementing these sanctions in a timely manner.

Improved Notification Process

Furthermore, Japan has taken steps to notify financial institutions and virtual assets services providers of designated targets through an email distribution service prior to public notice. The country’s Ministry of Finance (MoF), MoFA, and Minister of Economy, Trade and Industry (METI) jointly issue press releases on the day of public notice, and update lists of targeted individuals and entities on their respective websites.

Global Recognition

While Japan still has some areas for improvement, its efforts have been recognized by the global community. The country’s asset-freezing obligations now extend to all funds or other assets owned or controlled by designated persons or entities, as well as those derived from or generated from such assets.

“We are pleased to see Japan’s progress in combating terrorist financing,” said a spokesperson for the Financial Action Task Force (FATF). “Their efforts demonstrate a commitment to international cooperation and a willingness to improve their financial sanctions regime.”

Welcomed Efforts

Japan’s enhanced report has been welcomed by global authorities, who will continue to monitor the country’s progress in this area.