UNCDF’s Migration and Remittances for Development Programme, or the Programme, aims to support sustainable development by making remittances more accessible and affordable while helping build resilience for migrants and their families. For remittance service providers (RSPs), the Programme seeks to build the capacity to understand the financial needs and preferences of migrants and their families and to design and deliver responsive products accordingly.
Under the Financial Action Task Force (FATF) Recommendations,1 countries are required to put in place effective risk management frameworks as well as guidance for RSPs in compliance with AML/CFT legislation without imposing an unwarranted burden on lower-risk RSPs and restricting access to financial services to those seeking to use remittance services for their financial needs.
This guidance aims to assist regulators in implementing enabling regulatory frameworks for remittance services, as advocated by the FATF Recommendations. It comprises best practices and processes to guide RSPs on compliance with the FATF recommendations and national AML/CFT legislation using RBA.