The Financial Action Task Force (FATF) concluded its inaugural Plenary under UK President Giles Thomson in Paris on 30 October 2026, following meetings from 28 to 30 October. Members agreed on measures targeting financial crime involving virtual assets, fraud and scam compounds.
Virtual assets and scam-related financial flows
The Plenary agreed to speed up implementation of FATF Standards on virtual assets in jurisdictions with materially important activity. A targeted review and accelerated follow-up will address gaps in implementation by jurisdictions and Virtual Asset Service Providers. Results are due in June and October 2027.
Members approved a report on illicit financial flows linked to scam compounds, the first output under the FATF’s UK Presidency Roadmap on combatting fraud. It is expected next week and will inform further work on disrupting criminal networks and their profits.
Monitoring lists and other outcomes
Bulgaria, Côte d’Ivoire, the Democratic Republic of the Congo and Monaco left the increased-monitoring list after completing action plans and successful on-site visits. The FATF raised concern about Vietnam’s pace of progress and may consider further steps if tangible improvements are not made by February 2027.
The high-risk list remained unchanged, naming the Democratic People’s Republic of Korea, Iran and Myanmar. The FATF called on Myanmar to address extensive fraud and cyber scams, and on Iran to criminalise terrorist financing and establish targeted financial sanctions. Mutual evaluation reports for Mexico and the United States were adopted for publication in December 2026. A risk-assessment forum is scheduled for Dallas on 1–2 December; Russia’s membership suspension remains in place.
Important Facts for Exams
- Virtual-asset supervision: FATF Recommendation 15 requires countries to assess virtual-asset risks and license or register, regulate and supervise virtual-asset service providers.
- Travel Rule: Under FATF Recommendation 16’s Travel Rule, virtual-asset service providers must obtain and transmit specified originator and beneficiary information with qualifying transfers.
- Monitoring-list distinction: FATF distinguishes jurisdictions under increased monitoring, which commit to action plans, from high-risk jurisdictions for which it calls for enhanced due diligence or countermeasures.
- Mutual-evaluation method: FATF mutual evaluations examine both technical compliance with its 40 Recommendations and effectiveness in achieving outcomes, using peer reviews and subsequent follow-up.
