Cambodia has met an important goal with its recent removal from the Financial Action Task Force’s (FATF) list of jurisdictions under observation for potential money laundering and terrorism financing, commonly known as the “grey list.”
According to details published by the Phnom Penh Post, both Cambodia and Morocco have been removed from the list, having improved countermeasures to fight the financial crimes.
“Each country has addressed its technical deficiencies to meet the commitments of its action plan on strategic deficiencies that the FATF identified in February 2019 and 2021 respectively,” the global watchdog said in a statement.
“Both countries are no longer subject to the FATF’s increased monitoring process but will continue to work with the FATF-style regional body of which they are a member to further strengthen their AML/CFT [anti-money laundering/counter-terrorism financing] regimes.”
Cambodia landed on the list in 2019 due to concerns that regulatory policies in the nation’s casino industry were insufficient or not strictly enforced. In 2021, FATF said Cambodia “failed to complete its action plan, which fully expired in January 2021.”
Last November, Cambodia’s Minister of Interior expressed hope that the nation would be removed from the list, calling it a “golden opportunity,” Asia Gaming Brief reported. The country then fulfilled its remediation plans, and needed only to “demonstrate an increase in the freezing and confiscation of criminal proceeds, instrumentalities, and property of equivalent value,” according to FATF.
The Philippines remain on the list, however, with FATF noting it still must “strengthen the effectiveness of its AML/CFT regime” and prove that “supervisors are using AML/CFT controls to mitigate risks associated with casino junkets,” among other issues.
The watchdog acknowledged that the Philippines continue to make progress, “however all deadlines have now expired and work remains.” It urged the country to address its “strategic deficiencies as soon as possible.”
New countries added to the grey list in 2023 are South Africa and Nigeria, the Post reported.
