Prudential Supervision: AML and CFT_Balancing Integrity and Financial Exclusion Risks

In the following interaction, we investigate the particular ML/TF risk factors and mitigating measures related to DFS. 

Understanding these risks will demonstrate how appropriate AML/CFT supervisory regimes can preserve financial integrity while safely enabling financial inclusion.  

Additional Reading 

The following resources are included in the interaction. They are repeated here for ease of reference. 

• DeKoker, L., Kerse, M., and Jeni, I., 2025, Public Consultation on FATF Guidance on AML/CFT Measures, and Financial Inclusion, Findev Gateway, https://www.findevgateway.org/paper/2025/03/public-consultation-on-fatfs-guidance-on-amlcft-measures-and-financial-inclusion
• Meagher, P., 2019, Risk-Based Customer Due Diligence: Regulatory Approaches, CGAP, https://www.cgap.org/research/publication/risk-based-customer-due-diligence-regulatory-approaches
• Toronto Centre, 2025, Insights on FATF Guidance – Financial Inclusion and AML/CFT Measures –Podcast (Part 1) https://torontocentre.org/index.php?option=com_content&view=article&id=606&Itemid=99

We also recommend the following for additional reading and insight on how to balance integrity with financial exclusion risks.

• Jenik, I.,  de Koker, L., and Kerse, M., 2025, Revised FATF Guidance on Inclusion Finalized, CGAP Blog, https://www.cgap.org/blog/revised-fatf-guidance-on-inclusion-finalized
• Kerse, M., de Koker, L., and Jenik, I., 2025, FATF’s Revised Inclusion Guidance: Progress Made, Questions Remain, CGAP Blog,  https://www.cgap.org/blog/fatfs-revised-inclusion-guidance-progress-made-questions-remain
• Kerse, M., de Koker, L., and Jenik, I., 2025, The Time to Consult on FATF Revisions is Now, CGAP  Blog, https://www.cgap.org/blog/time-to-consult-on-fatf-revisions-is-now
• Kerse, M., Jenik, I., and de Koker, L., 2024, FATF Supports Inclusion with Recent Revisions, CGAP Blog, https://www.cgap.org/blog/fatf-supports-inclusion-with-recent-revisions