Mongolia Leads the Way in Asia-Pacific against Financial Crime and Fraud: Fully Implemented FATF Recommendations
Mongolia has achieved a significant milestone by becoming the first country in the Asia-Pacific region and the fifth globally to fully adopt and implement all 40 recommendations of the Financial Action Task Force (FATF). This global body is dedicated to combating financial crime, including corruption, money laundering, and terrorist financing.
Mongolia’s Commitment to FATF Compliance
At the 26th annual Asia-Pacific Financial Crimes Group conference in Vancouver, Canada, the Mongolian government’s commitment to this cause was emphasized. Deputy Minister of Justice and Domestic Affairs, B. Solongoo, presented a progress report on Mongolia’s FATF compliance, highlighting the country’s recent advances towards improving transparency and tackling high-level corruption.
Improvements in FATF Recommendation 8
Mongolia’s compliance with FATF recommendation 8, which addresses the potential use of nonprofit organizations for terrorist financing, has significantly improved from “partially compliant” to “largely compliant.” This achievement reflects Mongolia’s dedication to maintaining a responsible charitable sector and fostering transparency within civil society.
- Civil society involvement in policy creation
- Transparency within civil society
The Fight Against Corruption
Recognizing the link between corruption, money laundering, and terrorist financing, Mongolia declared 2023 as “The Year of the Fight Against Corruption.” Measures taken to combat corruption include:
- Evaluation of high-level corruption cases
- Fostering accountability and transparency in government procurement
- Strengthening laws against corruption
FATF Assessment and Global Recognition
The FATF, in collaboration with nine affiliate member organizations and international partners like the IMF and the World Bank, assesses countries and territories in countering financial crimes. The 40 recommendations provide a comprehensive framework for addressing terrorist financing, money laundering, corruption, monetary manipulation, and the proliferation of weapons of mass destruction.
Mongolia’s achievement has been applauded by nations worldwide as evidence of a strong legal system and commitment to global standards through increased regulation. Other countries, such as Nigeria and the United Arab Emirates, have also been making strides in countering financial crime.
- Nigeria removed from FATF’s grey list
- Establishment of anti-money laundering bodies in the UAE
Inspiring Others to Follow
Germany has declared its intentions to create a new regulatory body to combat money laundering, signifying that the global community remains focused on safeguarding economies against financial criminal activities. Mongolia’s example offers inspiration for others to follow, leading by example in the collective effort to create a world free from financial crime.