FATF updates AML/CFT lists, adds Bosnia and Iraq
The Reserve Bank of India announced updates to the Financial Action Task Force's (FATF) lists of high-risk and increased monitoring jurisdictions. The FATF added Bosnia and Herzegovina and Iraq to its increased monitoring list while removing Algeria and Namibia.
Shifting Landscape of Monitoring
The Financial Action Task Force (FATF) has reaffirmed its February 2020 call for action regarding the Democratic People's Republic of Korea (DPRK) and Iran.
Myanmar also remains on the High-Risk Jurisdictions list, a status from October 2022.
For Myanmar, enhanced due diligence is advised, but with a critical caveat to avoid disrupting humanitarian assistance, legitimate non-profit organization (NPO) activities, and remittances.
This ensures essential aid and financial flows are not inadvertently hindered.
The FATF's June 19, 2026 public statement introduced significant changes to the list of jurisdictions under Increased Monitoring.
Algeria and Namibia were removed, recognized for progress in addressing strategic deficiencies in anti-money laundering (AML), combating the financing of terrorism (CFT), and proliferation financing (PF) regimes.
Conversely, Bosnia and Herzegovina and Iraq were added to this list, reflecting new concerns identified by the FATF's ongoing review.
These updates reflect the FATF's dynamic assessment of global financial integrity, adapting its monitoring efforts based on evolving risks and national commitments to reform.
Global Standards for Financial Integrity
The Financial Action Task Force (FATF) is an inter-governmental body established in 1989 to set international standards.
Its core mandate is combating money laundering, terrorist financing, and other threats to global financial system integrity.
The FATF monitors member progress, reviews financial crime techniques, and promotes global adoption of counter-measures.
Its decision-making body, the FATF Plenary, meets three times a year to update these statements.
These updates are part of ongoing efforts to identify and work with jurisdictions exhibiting strategic AML/CFT deficiencies, guiding them towards stronger prevention frameworks.
The RBI's communication ensures regulated entities are aware of these international standards and their due diligence obligations, without precluding legitimate trade and business transactions.