What is the FATF grey list?
The FATF grey list, officially called "jurisdictions under increased monitoring," identifies countries that have strategic deficiencies in their AML/CFT regimes but have committed to working with the FATF to address them. Being grey-listed signals elevated risk and typically triggers enhanced due diligence requirements for business relationships involving those jurisdictions.
Implications for regulated businesses
When a customer, beneficial owner, or transaction is connected to a grey-listed jurisdiction, regulated businesses should apply EDD measures including enhanced source of funds verification and more frequent ongoing monitoring. The FATF grey and black lists are updated after each FATF plenary session.
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