Peru Fails to Meet FATF Standards in Key Areas

LIMA, PERU - A recent report by the Financial Action Task Force (FATF) has found that Peru has made significant progress in implementing anti-money laundering and combating terrorist financing measures. However, the country still lags behind in several key areas.

Progress Made in Implementing Anti-Money Laundering Measures

The FATF report noted that Peru has received ratings of “compliant” or “largely compliant” in 14 areas, including:

Compliant Areas

• Customer due diligence for financial institutions
• Internal controls and foreign branches and subsidiaries
• Powers of supervisors

These areas demonstrate Peru’s commitment to implementing effective anti-money laundering measures.

Shortcomings in Key Areas

However, the report also identified several key areas where Peru failed to meet FATF standards. These include:

Non-Compliant Areas

• DNFBPs (designated non-financial businesses and professions) regulation and supervision
• DNFBPs customer due diligence
• DNFBPs other measures
• Higher-risk countries

Peru’s failure to meet standards in these areas highlights the need for continued improvement in its anti-money laundering regime.

Rating Breakdown

The FATF report gave Peru a rating of “partially compliant” or “non-compliant” in 15 out of 40 areas assessed. The breakdown is as follows:

Technical Compliance

• Compliant (C): 5
• Largely compliant (LC): 6
• Partially compliant (PC): 4
• Non-compliant (NC): 0

Peru’s rating highlights the need for continued improvement in its anti-money laundering and combating terrorist financing measures.

Next Steps

The Peruvian government has committed to addressing these shortcomings and has outlined plans to strengthen its anti-money laundering regime. The country will face scrutiny from the FATF in the coming months as it works to address these issues and improve its regulatory framework.