Successful counter-terrorism financing requires global cooperation between public and private sectors. To this end, the Group supports FATF recommendations and emphasises FIs' responsibility in preventing terrorist financing. FIs must promptly respond to government inquiries, prevent terrorists' access to financial services and report suspicious activities.

FIs should balance risk mitigation measures with ensuring legitimate access to financial services. They must maintain effective anti-money laundering and counter-terrorism financing programs. The Group advocates for a risk-based approach, enhanced due diligence for high-risk customers, and continuous monitoring.

Customer due diligence, including screening against sanctions lists, is crucial for detecting potential terrorist financing. FIs must monitor and screen transactions, report suspicious activities, and cooperate with law enforcement and government agencies.

Global cooperation is vital in combatting terrorism financing. The Group encourages collaboration between financial institutions, law enforcement, and government agencies. Key areas of focus include sharing official lists of suspected terrorists, providing feedback on suspicious activity reports, and developing training to identify terrorist finance typologies.

Regulatory frameworks should facilitate information sharing among FIs and competent authorities, protect FIs from liability, and allow prompt exchange of information across jurisdictions. Additionally, FIs should be permitted to share actionable information securely to prevent or detect terrorist financing.

Wolfsberg Group’s statement on countering terrorist financing can be found here.