AML: FATF October Plenary – AI, Asset Recovery & Updates

The fourth plenary meeting of the FATF, held from 22–24 October 2025 under the Mexican Presidency of Elisa de Anda Madrazo, brought together delegates from over 200 jurisdictions and observers. This gathering marked significant milestones across the global anti‑money laundering and countering the financing of terrorism and proliferation (AML/CFT/CPF) agenda.

Mutual Evaluations: A New Era of Risk‑Based Assessment

One of the key highlights was the adoption of the first mutual evaluation reports under the FATF’s newly revised, more time‑bound and result‑oriented framework. Specifically, the reports for Belgium and Malaysia were approved, signaling the transition to evaluations that place greater emphasis on effectiveness rather than mere technical compliance. The reports will be published in December 2025 after a global “quality and consistency” review.

Shifts in Monitoring Status: Grey List Moves & Regional Impacts

Another major outcome was the removal of several jurisdictions from the FATF’s Increased Monitoring list (referred to as the grey list). Notably, Burkina Faso, Mozambique, Nigeria and South Africa successfully completed their action plans and were acknowledged for significant improvements in AML/CFT regimes. This development is seen as a positive sign for the African region’s ability to engage with global AML/CFT standards.

At the same time, the FATF reaffirmed the status of certain jurisdictions flagged for serious strategic deficiencies in AML/CFT/CPF. For example, the current high‑risk jurisdictions (subject to a call for action) include the Democratic People’s Republic of Korea (DPRK), Iran and Myanmar.

Regarding the Russian Federation, the plenary reaffirmed that its membership suspension remains in effect. The FATF continues to urge vigilance by members regarding risks associated with Russia, despite no new formal listing changes at this plenary.

Strategic Guidance: Asset Recovery & Emerging Technology Risks

The FATF adopted new comprehensive guidance on asset recovery, a long‑standing challenge across jurisdictions. The guidance aims to equip countries with better tools and frameworks for confiscating criminal proceeds, including cross‑border flows, which remain a significant vulnerability in the global financial system.

On the technology front, the plenary approved a Horizon Scan addressing risks posed by generative AI, deepfakes and other emerging technologies. The document highlights how criminals may exploit these tools (for example, via synthetic identity creation or large‑scale automated fraud) and outlines scenarios for both public and private sectors to consider.

cleversoft Compliance Commitment

Following the October 2025 FATF plenary, no new jurisdictions were added to the list of countries under increased monitoring. Four countries namely Burkina Faso, Mozambique, Nigeria and South Africa, were removed from the FATF increased monitoring list. Despite their removal, all four remain classified as High Risk in cleversoft’s jurisdictional risk model due to ongoing concerns regarding AML/CFT frameworks and enforcement.

All other countries maintain their previous risk levels, reflecting cleversoft’s comprehensive criteria that incorporate regulatory assessments, enforcement effectiveness and other AML/CFT considerations. These adjustments are now reflected across relevant cleversoft compliance products, ensuring your screening logic and risk assessments remain aligned with the most current jurisdictional intelligence.

At cleversoft, we are committed to keeping your compliance framework aligned with the latest international AML/CFT standards. Our products automatically integrate jurisdictional risk updates, provide actionable insights, and ensure your screening logic reflects the most current intelligence, helping your organization maintain a robust risk-based compliance program.

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Our Financial Crime Prevention Suite ensures your organization stays ahead of regulatory changes with real-time jurisdiction risk monitoring, comprehensive AML screening, and automated regulatory alerts. We integrate updated FATF standards into our solutions, providing you with the tools needed to navigate this evolving regulatory landscape.

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Source: Outcomes FATF Plenary, 22-24 October 2025