Financial Action Task Force (FATF)

Abstract

Money laundering is an act of crime that can destabilize the economical condition of a country. Vienna Convention in 1988, which examine about drugs, is the basis of discussion on anti-money laundering regime. International response for the fighting against money laundering is by establishing FATF. FATF has several recommendations which are admitted as the international standards. In its framework, FATF have a black list system that provides overview on the countries that do not take part in the fight against money laundering. Indonesia is not a member of FATF, but was listed in FATF’s black list system in 2000. This research aims to find out the causes of FATF recommendation implementation by Indonesia. Descriptive type of research is applied in this research to describe the process that Indonesia has gone through in fighting against money laundering by implementing FATF recommendation. The result of this research shows Indonesia’s serious effort in combating money laundering.