The Ministry of Finance and the Financial Monitoring Service of Ukraine call on the Financial Action Task Force (FATF), under the leadership of newly appointed President Elisa de Anda Madrazo, to combat the escalating risks russia poses to the global economy by blacklisting it at the upcoming plenary.

The FATF plenary meeting will take place on 21-25 October in Paris.

In the last plenary meeting in June, the FATF compelled member states to stay vigilant about the current and emerging risks russia poses to international financial security. Primarily, the FATF warned about russia’s deepening financial ties with globally sanctioned states and its facilitation of cybercrime.

Since the last plenary meeting, russia has further strengthened its ties with FATF-blacklisted countries North Korea and Iran. russia’s cooperation with North Korea is now firmly established with russia facilitating oil transfers to North Korea in exchange for military support. North Korea has recently deployed engineers to help russia fire ballistic missiles into Ukraine. russia has continued to procure ballistic missiles from Iran. Media reports suggest that the cooperation between the two countries may now extend to russia sharing nuclear secrets with Iran in exchange for weapons.

The deepening ties between russia and these states threatens the international rules-based order and highlights how russia has become a gateway for blacklisted countries to access the global economy.

Cyberattacks emanating from russia have continued to target critical infrastructure within FATF member states. For example, russia reportedly provides protection to Qilin, the ransomware criminal gang which was responsible for a cyberattack on the UK’s National Health Service. Pro-russian hacker groups also reportedly attempted to disrupt the recent EU elections. These cyberattacks are designed to disrupt essential services and economies in FATF member states.

President Madrazo should now send a strong signal to the global community that the FATF, under her leadership, is prepared to stand firm against those who commit state-sponsored financial crime and seek to undermine the international financial system.

“russia continues to blatantly attempt to destabilise global financial security. We must act decisively, and we look to the FATF to lead this charge. Failing to challenge russia’s defiance would weaken the foundations and future stability of the global financial system. Decisive actions must be taken against the current and emerging threats russia poses – blacklisting by the FATF is the only viable solution,” Minister of Finance Sergii Marchenko said.

“russia’s clear non-compliance with FATF’s standards must be addressed. Through its persistent dealings with blacklisted countries and lack of transparency, the risks russia poses to the functioning of the global economy are growing daily. FATF’s only appropriate course of action is to blacklist russia,” Igor Cherkaskyi, Head of the State Financial Monitoring Service of Ukraine.