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Statement by the Financial Action Task Force (FATF) President: COVID-19 and Measures to Combat Illicit Financing

– FATF

  • News
  • Posted by Good ID team (Good ID)
  • 20 April 2020

This statement outlines the FATF’s advice to businesses around cybercrime and security during the COVID-19 pandemic

The FATF states that due to social distancing, the accelerated use of digital financial services is encouraged. It argues that compliance with the FATF standards will ensure digitization is safe for companies, and warns that people must remain vigilant to heightened levels of cybercrime during the pandemic.

“Malicious or fraudulent cybercrimes, fundraising for fake charities, and various medical scams targeting innocent victims are likely to increase, with criminals attempting to profit from the pandemic by exploiting people in urgent need of care and the goodwill of the general public and spreading misinformation about COVID-19.”

The FATF supports the use of financial technology (Fintech), as innovative digital processes, such as contactless payments, help to reduce the risk of spreading the virus. It also encourages governments to work with charities and non-profit organizations to ensure aid is reaching the people who need it, and that this process of distribution is transparent.

As the global standard‑setter for combating money laundering and the financing of terrorism and proliferation, the FATF encourages governments to work with financial institutions and other businesses to use the flexibility built into the FATF’s risk-based approach to address the challenges posed by COVID-19 whilst remaining alert to new and emerging illicit finance risks

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