As regulations strive to match the pace of the threat of proliferation financing, so will enforcement. There is a continual need for regulated firms to prioritise their understanding of various risk types and take appropriate steps to mitigate those risks.
The consideration of proliferation financing (PF) risk exposure is not readily apparent in the risk and control frameworks of many regulated firms. However, in the past 5 years, several PF related guidance documents have been published which highlight this specific risk exposure and have thus driven the introduction of specific regulatory requirements.