FATF Plenary Session (February 2025) – Key Decisions & Updates

The second Financial Action Task Force (FATF) Plenary under the Presidency of Elisa de Anda Madrazo (Mexico) concluded after three days of technical discussions. Delegates from over 200 jurisdictions and international organizations participated in the meeting. The discussions focused on key issues, including money laundering, terrorism financing, proliferation financing, financial inclusion, payment transparency, and online child sexual exploitation. Several important decisions were made regarding updates to the FATF Standards, public consultations, country monitoring lists, and leadership changes.

Key Highlights from the FATF Plenary

1. Updates to FATF Standards & Financial Inclusion

• Agreed on changes to FATF Standards to enhance the risk-based approach and promote financial inclusion.
• Recognized that 1.4 billion people worldwide lack access to banking services.
• Approved simplified measures for financial institutions where risks are lower.
• Launched a public consultation to support financial inclusion measures.

2. Addressing Financial Flows in Online Child Exploitation

• Approved a landmark report to track and disrupt financial transactions linked to online child sexual exploitation.
• Focuses on financial intelligence to combat live-streamed abuse and child sextortion.
• The report will be launched in London on March 13, 2025.

3. FATF Monitoring List Updates

• Added: Lao People’s Democratic Republic and Nepal to the Increased Monitoring (Grey List).
• Removed: The Philippines from the Grey List due to progress in AML/CFT compliance.

4. Membership & Country Participation

• Kenya joined the FATF Plenary under the guest initiative, alongside Cayman Islands and Senegal.
• The suspension of Russia from FATF continues.

5. Public Consultations

Launched consultations on,

• Recommendation 1 – Supporting financial inclusion through a risk-based approach.
• Recommendation 16 – Improving payment transparency and reducing financial crime risks.
• Complex Proliferation Financing & Sanctions Evasions – Identifying best practices for compliance.

6. FATF Leadership Changes

• Giles Thomson (UK) appointed FATF Vice-President (2025-2027), succeeding Jeremy Weil (Canada).

7. Strengthening Global Network Cooperation

• Expanded participation of FATF-Style Regional Bodies (FSRBs) to increase regional involvement.
• Encouraging guest jurisdictions to contribute actively.

8. Women in FATF Initiative

• Hosted a successful event to support women’s careers within FATF.
• 2nd Edition of FATF Mentoring Programme launching in March 2025.

9. Addressing Corruption & Private Sector Collaboration

• Conducted a Horizontal Review on how lawyers, accountants, and real estate agents comply with FATF standards.
• Private Sector Collaborative Forum scheduled for March 25-27, 2025, in Mumbai.