Certified Anti-Money Laundering Specialist Certification (CAMS) Practice Exam

What does FATF Recommendation 32 advise countries to maintain?

1. Annual reports of banking transactions

2. Comprehensive statistics on AML and CTF efforts

3. A directory of financial institutions

4. Reports on customer behavior

The correct answer is: Comprehensive statistics on AML and CTF efforts

FATF Recommendation 32 focuses on the importance of countries maintaining comprehensive statistics on their anti-money laundering (AML) and counter-terrorism financing (CTF) efforts. This recommendation emphasizes that governments should collect and analyze data related to the effectiveness of their measures in combating money laundering and the financing of terrorism. The collection of comprehensive statistics allows for better assessment of how well the systems and controls are functioning and provides insight into trends and areas needing improvement. By maintaining such data, countries can evaluate the efficacy of their AML and CTF frameworks, inform policy-making, and enhance international cooperation and standards. In contrast, options like annual reports of banking transactions, a directory of financial institutions, or reports on customer behavior do not specifically align with the core intent of Recommendation 32, which is to provide a systematic approach to monitoring and enhancing AML and CTF efforts through statistical evidence. Therefore, maintaining comprehensive statistics is crucial for ensuring that AML and CTF strategies are both effective and responsive to evolving risks.