Financial Action Task Force (FATF)

The Financial Action Task Force (FATF) is a Paris-based multi-disciplinary and inter-governmental body whose purpose is the development and promotion of national and international policies to combat money laundering and terrorist financing. The FATF is therefore a "policy-making body" that works to generate the necessary political will to bring about legislative and regulatory reforms in these areas.

The FATF was founded at the 1989 OECD Economic Summit as a response by the heads of state of the G-7 nations to the growing problem of money laundering. It leads the world­wide fight against money laundering. Thirty-one countries and two international organizations are members. The group brings together the policy-making power of legal, financial and law enforcement experts.

Among its tasks are the promotion, adop­tion and implementation by non-member countries of its Forty Recommendations to combat interna­tional money laundering and the imposition of sanctions against countries found to be non-cooperative in the fight against international money laun­dering. Since October 2001, the FATF has also issued 9 Special Recommendations relating to the prevention of ter­rorist financing.

The FATF is commonly referred to by its French or Spanish acronym, GAFI.