Financial Action Task Force approves Recommendation 16 revisions for cross-border payments and updates increased monitoring list

The Financial Action Task Force (FATF) published the outcomes of a joint FATF–MONEYVAL Plenary, including agreed changes to the FATF Standards to strengthen payment transparency in cross-border payments and updates to its lists of jurisdictions under increased monitoring. The Plenary approved revisions to Recommendation 16 aimed at improving detection of crime and sanctions implementation by clarifying who is sending and receiving funds in cross-border payments over USD/EUR 1,000, streamlining information requirements in payment messages, and introducing new requirements on the use of technology to prevent fraud and error. Bolivia and the Virgin Islands (UK) were added to the list of jurisdictions under increased monitoring, while Croatia, Mali and the United Republic of Tanzania were removed following successful on-site visits and completion of their action plans; the FATF suspension of the Russian Federation remains in place. Separately, the Plenary adopted MONEYVAL’s mutual evaluation report of Latvia, and reviewed progress under MONEYVAL Compliance Enhancing Procedures for Czechia, Georgia and the Slovak Republic. The revised Recommendation 16 Standards will be formally published on 18 June 2025, with financial institutions expected to comply from 2030. The Latvia mutual evaluation report is scheduled for publication in late 2025 following a quality and consistency review, and Czechia, Georgia and the Slovak Republic are due to report back to the MONEYVAL Plenary in December 2025; the FATF also flagged forthcoming publications on financial inclusion guidance, proliferation financing and sanctions evasion, terrorist financing risks, and a targeted update on virtual assets and virtual asset service providers.