Global Stakeholders Unite in Mumbai to Strengthen Anti-Financial Crime Defenses

The Financial Action Task Force's 2025 Private Sector Collaborative Forum in Mumbai emphasizes public-private partnerships to combat financial crime. Over 200 global participants, including international banking groups and fintech companies, are discussing trends in anti-money laundering and terrorism financing. Key topics include payment transparency and evolving financial regulations.

The Financial Action Task Force (FATF) has underscored the critical need for public-private partnerships to bolster global defenses against financial crimes. This agenda was at the forefront of the 2025 FATF Private Sector Collaborative Forum, hosted in Mumbai by the Reserve Bank of India (RBI) and the Ministry of Finance from March 25-27. According to a FATF press release, the forum serves as a platform for diverse stakeholders to share insights.

Addressing the forum, FATF President Elisa de Anda Madrazo highlighted the essential role of the private sector in combating money laundering and terrorism financing. Madrazo noted that collaboration with the private sector is indispensable for fulfilling the FATF's mandate. She stressed that public authorities and the private sector must unite against financial crimes.

RBI Governor Sanjay Malhotra reiterated the importance of joint efforts. He called for continued innovation to create financial ecosystems that are safe, accessible, and growth-oriented, thwarting financial crimes while promoting inclusion. The forum offers a distinctive venue for public and private sector participants to share knowledge and strategies in the fight against financial crimes.

The initial day of the forum tackled payment transparency issues and involved discussions on proposed updates to Recommendation 16, aimed at making cross-border payments faster, cheaper, and safer. The consultation is open for comment until April 18. Discussions will also touch on balancing payment transparency with data protection, underscoring collaboration between public entities and the private sector.

In subsequent sessions, simplified due diligence and financial inclusion are focal topics, in light of recent FATF standard revisions. The discourse also encompasses the challenges of applying a risk-based approach and leveraging digital tools. A consultation for new guidance emphasizing proportionality will remain open until April 2025. The forum also spotlights access to financial channels for humanitarian aid, supporting Non-Profit Organizations (NPOs).

The final day will address emerging anti-money laundering risks and the financing of terrorism, exploring coordinated solutions collaboratively. (ANI)

(With inputs from agencies.)