Money Laundering & Terrorist Financing Threat & Risk Assessment
The Global Money Laundering and Terrorist Financing Threat Assessment (GTA)
The Global Money Laundering and Terrorist Financing Threat Assessment (GTA) is a global threat assessment of money laundering and terrorist financing.
The document, developed by the FATF, is aimed at getting a better insight of these threats and their negative impact, and help governments to take decisive action to minimise the harms they can cause.
The report is based on various typologies studies carried out by the FATF, the FSRBs and their member states as well as the FATF's Strategic Surveillance Initiative.
This initiative was launched in 2008 and is meant to:
- detect and share information on the types of criminal or terrorist activities that pose an emerging threat to the financial system;
- develop a more strategic and longer-term view of these threats.
The members of the FATF and the regional subgroups contribute to this initiative on a yearly basis through a questionnaire that is sent to them.
The GTA wants to tackle the techniques used for money laundering and terrorist financing based on five themes:
- the abuse of cash and bearer negotiable instruments;
- the abuse of transfer of value apart from cash and bearer negotiable instruments;
- abuse of valuable goods;
- abuse of persons that can carry out money laundering or terrorist financing transactions because of their financial expertise (non-financial professions) or persons (politically exposed persons) that can influence the applicable laws and regulations;
- criminals and terrorism financers that abuse jurisdictions with a weaker and inadequate AML/CFT system
The GTA explains why criminals and terrorist financers conduct their activities utilising these ML and TF techniques and considers what factors allow for successful ML and TF.
The GTA also examines the influence and the negative impact of successful ML/TF transactions on the international financial system and individuals, NPOs, local and national communities and the international community.
The GTA does not quantify the ML/TF threats, but recognises the components of ML/TF, the harms caused and the need for global action.
The EU Supranational ML/TF risk assessment
In June 2017 published the European Commission the first EU Supranational ML/TF risk assessment.
For more information: click here.