Measuring OECD Responses to Illicit Financial Flows from Developing Countries

6th Meeting of National PCD Focal Points13 June 2013

Measuring OECD Responses to IIlicit Financial Flows

• We are measuring policy and practice ‘effort’ by OECD countries in addressing illicit flows originating from the developing world.

• We are NOT measuring volumes of financial flows (estimates problematic but likely to outstrip aid). NOT saying anything about the RELATIVE importance of the various parts of the IFF landscape.

• Output : comparative report based on open source data, with recommendations.

Chapter 1: Concept of ILLICIT FINANCIAL FLOWS

Therefore, the focus of our report is on:

• Money Laundering: AML Standards

• Tax Evasion: Exchange of Information(to address tax havens)

• Bribery: Anti-Bribery Convention

• Stolen Assets: Asset Recovery

• Development Cooperation

Chapter 2: Money LaunderingAverage OECD Score on all 40 FATF Recommendations

Beneficial ownership PEPs

Regulation of DNFBPs

Correspondent Banking

CDD

SanctionsHigh risk jurisdictions

Regulation, Supervision, Monitoring

FATF: Best, Worst performers

Chapter 3: Tax Evasion Fighting tax evasion through exchange of tax information

Source: OECD Working Group on Bribery Annual Report 2011, p.14.

Chapter 4: International bribery

Chapter 5: Recovering Stolen Assets

Chapter 6: What role for aid agencies?