The proliferation of weapons of mass destruction poses a significant threat to international peace and security, as identified by relevant United Nations Security Council Resolutions (UNSCRs).
The Financial Action Taskforce (FATF) is an intergovernmental body that sets international standards to help prevent money laundering and terrorist financing.
In October 2020, The FAFT revised its Anti-Money Laundering/Counter-Terrorist Financing (AML/CTF) Standards requiring countries and entities subject to AML regulations to identify, assess, monitor, manage, and mitigate proliferation financing risks.
FATF recommendations require countries and the private sector to:
- conduct risk assessments and then apply a risk-based approach to mitigating proliferation financing, and
- take appropriate mitigating measures commensurate with the level of risks identified
Learning objectives are the basic concepts about proliferation financing, its characteristics and red flags.
