Which of the following best describes the role of the FATF?

The role of the Financial Action Task Force (FATF) is best described as that of an intergovernmental body aimed at combating financial crime. The FATF was established to develop policies to combat money laundering and terrorist financing and to promote effective implementation of these policies globally. It creates a framework that member countries can follow in order to enhance their financial systems’ ability to prevent and combat financial crimes.

This involves assessing and evaluating national anti-money laundering (AML) systems and promoting international cooperation among its members. The FATF conducts mutual evaluations and provides recommendations that countries can implement to improve their financial crime prevention measures. Therefore, its primary focus is on formulating and promoting policies that target financial crime at an international level rather than being limited to regulatory oversight or intelligence gathering.