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

Which action is recommended in FATF Recommendation 35?

1. To cease all international collaborations

2. To enhance domestic laws only

3. To become party to relevant international conventions

4. To delay implementation of existing laws

The correct answer is: To become party to relevant international conventions

FATF Recommendation 35 emphasizes the importance of countries becoming party to relevant international conventions to strengthen their frameworks in combating money laundering and terrorist financing. By doing so, nations align their laws and practices with international standards, facilitating cooperation and collaboration across borders. This action is crucial for enhancing the effectiveness of global efforts to combat financial crimes, as it encourages countries to share information and resources, thus creating a more unified and robust international response. Engaging with these conventions allows countries to adapt better to the evolving nature of financial crime, learn from other jurisdictions, and ensure that their policies and laws are comprehensive and effective. This commitment to international cooperation is essential for addressing the challenges posed by money laundering and terrorist financing, which often transcend national borders. The other options suggest actions that would not contribute to building a more effective anti-money laundering regime or could potentially hinder cooperation and progress in this area. Engaging with international conventions is therefore the most constructive and impactful approach as outlined in FATF Recommendation 35.