Countering Proliferation Financing Best Practices

This guide provides foundational guidance for banks in Singapore to enhance their understanding and management of proliferation financing (PF) risks. It outlines the objectives of the Counter-Proliferation Financing Working Group, established under the Anti-Money Laundering/Countering the Financing of Terrorism Industry Partnership. The document details the risks and typologies associated with PF in Singapore, emphasizing the importance of risk assessments and mitigation strategies. It presents a methodology framework for conducting PF risk assessments, including examples of risk indicators and sources of information. The guide also discusses risk governance structures, customer and transactional due diligence, and compliance monitoring. Additionally, it highlights higher-risk areas and best practices for banks and non-banks, focusing on sectors identified as having elevated PF risks. The role of public-private partnerships and information sharing in combating PF is also addressed, providing a comprehensive approach to managing these risks effectively.