Edited by Sergio Silvestri

G20 finance ministers and central bank governors have confirmed in recent days their commitment to addressing sources, techniques and channels relating to money laundering, terrorist financing and the proliferation of weapons of mass destruction.

They particularly emphasized the importance of combating financial crimes related to the COVID-19 pandemic. In his remarks to the G20, FATF Chairman Marcus Pleyer emphasized the importance of risk-based supervision to effectively detect and prevent financial crimes that undermine global economies and hinder economic recovery.

Pleyer called on the G20 to lead a change in regulatory culture. Many supervisors and compliance officers still take a basic approach: ensuring forms are filled out correctly rather than focusing on the real risks. Last month, the FATF published guidance on risk-based supervision, which will help supervisors address the full spectrum of money laundering and terrorist financing risks and focus resources where they are most needed. The G20 welcomed the FATF's ongoing work to combat environmental crime by preventing corruption and illicit financing associated with the illegal exploitation of natural resources. Furthermore, the G20 recognized the impact of environmental crime on the climate and biodiversity. Environmental crime is a priority for the FATF, which builds on previous work to combat money laundering related to the illegal wildlife trade. G20 finance ministers committed to further strengthening the FATF's global network of regional bodies to enhance its standards.