FATF team coming to check Sri Lankaâ€™s compliance
ECONOMYNEXT – A team from the Financial Action Task Force (FATF) will visit Sri Lanka in May to check its compliance with global Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) rules.
The FATF placed Sri Lanka under monitoring status, or a grey list, in 2017 saying there were strategic deficiencies in its compliance.
The Central Bank said in a statement it had been working on a time-bound action plan to bring laws and supervision of non-bank firms like casinos and the gem industries to ensure compliance.
Sri Lanka has been given till March 2019 to fulfil the requirements.
The statement said the FATF, at its Plenary held during 20-22 February 2019 in Paris, had endorsed the progress made by Sri Lanka.
It “made the initial determination that Sri Lanka has completed its action plan and warrants an on-site assessment to verify that the implementation of Sri Lanka’s AML/CFT reforms has begun and is being sustained, and that the necessary political commitment remains in place to sustain implementation in the future.”
A team of evaluators will be visiting Sri Lanka during May 2019.
The team will meet all relevant stakeholders, including the private sector and the highest political authorities to verify the implementation of the FATF Action Plan and to ascertain Sri Lanka’s political commitment towards implementation of AML/CFT.
The on-site team will make their Financial Intelligence Unit recommendations to the FATF Plenary scheduled to be held in June 2019, which could result in Sri Lanka exiting the “Grey List” in June 2019.