CAMS Question #453: Real Exam Question with Answer & Explanation

The correct answer is C. To enforce implementation of the FATF recommendations amongst its member countries. FSRBs are regional bodies whose core mandate is to promote and support the implementation of the FATF 40 Recommendations among their member countries through mutual evaluations and technical assistance.

Question

Which is an objective of the Financial Action Task Force (FATF)-Style Regional Bodies (FSRBs)?

Options

ATo issue their own recommendations, considering local typologies, ignoring the FATF 40
BTo work in parallel with FATF by operating on the basis of (mutual, joint, or common) recognition
CTo enforce implementation of the FATF recommendations amongst its member countries
DTo work independently from FATF and to be closely involved in improving law enforcement

Explanation

FSRBs are regional bodies whose core mandate is to promote and support the implementation of the FATF 40 Recommendations among their member countries through mutual evaluations and technical assistance.

Common mistakes.

A. FSRBs adopt the FATF 40 Recommendations as their foundational standard and do not issue independent recommendations that ignore or conflict with FATF guidance.
B. FSRBs are associate members of FATF and operate in close coordination with it, not on a separate parallel track operating independently.
D. FSRBs work in alignment with FATF rather than independently, and their mandate requires cooperative engagement with FATF, not separation from it.

Concept tested. FATF-Style Regional Bodies mandate and objectives

Reference. https://www.fatf-gafi.org/en/countries/fsrbs.html

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