Mahfud: Membership Of FATF Important Achievements In Eradicating Corruption

Coordinating Minister for Political, Legal and Security Affairs Mahfud MD gave a press statement regarding Indonesia's membership in the Financial Action Task Force (FATF) in Jakarta, Wednesday (8/11/2023). BETWEEN PHOTOS/Tri Meilani Ameliya/sgd/Spt.

Coordinating Minister for Political, Legal and Security Affairs (Menko Polhukam) Mahfud MD assessed that Indonesia's membership in the Financial Action Task Force (FATF) is an important achievement for the work of eradicating corruption, especially those involving money laundering (TPPU).

Mahfud said Indonesia as the 40th member of the FATF showed the confidence of world countries in Indonesia in joint action to eradicate corruption and money laundering offenses.

"I think this is an important thing for the development of eradicating corruption in our country, especially corruptions that continue with money laundering offenses or are preceded by money laundering offenses," Mahfud said as quoted by ANTARA, Wednesday, November 8.

Indonesia officially joined as the 40th member of the FATF on October 27, 2023. Indonesian President Joko Widodo announced the news on Monday (6/11).

Mahfud revealed that the process of joining Indonesia as a member of the FATF was not easy, especially when Indonesia was blacklisted by the FATF in 2001.

"In 2001, Indonesia was blacklisted internationally because Indonesia did not have the legal apparatus to eradicate corruption in the money laundering sector, then in 2002 we made the law, then it was still considered lacking. In 2003 we made a Law on the Crime of Money Laundering," said Mahfud.

Indonesia was only removed from the blacklist in 2015, which indicates that Indonesia is included in the anti-money laundering regime.

"Continue to run, 2018, we signed up to become full members. Only now, since 2001 we have noticed that, now we have succeeded in becoming members of the FATF," said Mahfud.

The Financial Action Task Force (FATF) is an organization consisting of developed and developing countries that work together to form and practice the same standards to eradicate money laundering offenses, financing terrorism, and financing for the proliferation of weapons of mass destruction.

The joining of Indonesia as a full member of the FATF was obtained through a series of tests, both from the direct/on-site evaluation of the mutual evaluation review (MER) by the FATF team in July August 2020 and the assessment in the Plenary Meeting FATF in June 2023.

"Indonesia's membership in the FATF will have a positive impact on the credibility of the country's economy, namely increasing a positive perception of Indonesia's financial system which will have an impact on rapid economic growth through investment both at home and abroad," said Finance Minister Sri Mulyani Indrawati.