Regulatory Alerts2023-01-01
FATF Statements on High-Risk Jurisdictions (Circular No. 3 of 2023)
The Financial Services Authority of Seychelles issued Circular No. 3 of 2023 to mandate reporting entities to apply enhanced due diligence and ongoing monitoring in response to the Financial Action Task Force's February 2023 decisions on high-risk and monitored jurisdictions. The circular updates the relevant lists by adding South Africa and Nigeria to increased monitoring while removing Cambodia and Morocco, and requires entities to continuously consult FATF publications, apply proportionate countermeasures for countries like Myanmar, and safeguard humanitarian flows. Reporting entities must integrate these FATF updates into their risk assessments, strengthen controls against evasion through correspondent relationships, and face enforcement actions for failing to comply with the Anti-Money Laundering Act.