Caribbean Financial Action Task Force (C)FATF and Financial Action Task Force (FATF)

The FATF is an inter-governmental body, with 36 members. The FATF has created 8 FATF Style Regional Bodies, such as the CFATF. Aruba being part of the Kingdom of the Netherlands is both a member of the FATF and CFATF. 

The FATF Recommendations require all countries to have effective systems for preventing and addressing money laundering, terrorist financing and the financing of proliferation of weapons of mass destruction. The FATF conducts mutual evaluations of each member on an ongoing basis to assess the level of implementation of the FATF Recommendations.

(C)FATF warning lists

After every plenary (C)FATF meeting, the (C)FATF issues warning lists identifying jurisdictions that have strategic deficiencies in their regimes for anti-money laundering and combating the financing of terrorism. There are three warning lists:

1. Public Statement (category 1): jurisdictions with serious deficiencies. This list identifies jurisdictions that have serious deficiencies in their AML/CFT system which might pose risks to the international financial system. Regarding several jurisdictions on this list, the FATF calls for its members to take specific countermeasures in order to protect the ongoing and substantial money laundering and terrorist financing risks. 
2. Public Statement (category 2): jurisdictions that have not made sufficient progress. The (C)FATF calls on its members to consider the risks arising from the deficiencies associated with these jurisdictions. 
3. Improving Global AML/CFT compliance: on-going process. This document contains a list of jurisdictions that have serious deficiencies in their AML/CFT regimes but have committed themselves to addressing them. 

Link to FATF website  

Link to CFATF website

These lists are published on (C)FATF’s website and the CBA notifies entities under its supervision by letter about (changes of) these lists. The letters include specific actions that must be taken.