Draft Resolution 1

Authors: Republic of Turkmenistan, Republic of Iraq, Hashemite Kingdom of Jordan

Sponsor: The United Nations Counter Terrorism Committee

Signatories: Russian Federation, State of Israel, Islamic Republic of Iran, Federal Republic of
Germany, Kingdom of Thailand, Commonwealth of Australia, Islamic Republic of Pakistan,
People’s Republic of China, United Arab Emirates, Kingdom of Spain, Federal Democratic
Republic of Nepal, Republic of Mali, Principality of Monaco, Kingdom of Belgium, The United
Kingdom of Great Britain and Northern Ireland, Japan, The Republic of Austria, Togolese
Republic, Syrian Arab Republic, Hashemite Kingdom of Jordan, Republic of Turkmenistan,
Kingdom of Denmark, The Republic of the Philippines, The State of Libya, Federal Republic of
Nigeria, Republic of Korea, Federal Democratic Republic of Ethiopia, Federative Republic of
Brazil, The Argentine Republic, Ukraine, Republic of Iceland, Republic of Turkiye, Islamic
Republic of Afghanistan, Iceland, Federal Republic of Germany, United States of America, State
of Israel, Republic of India, State of Qatar, State of Kuwait, Republic of South Africa, Hellenic
Republic, People’s Democratic Republic of Algeria, Canada, People’s Republic of Bangladesh,
Kingdom of Norway, Republic of the Union of Myanmar,

THE UNITED NATIONS COUNTER-TERRORISM COMMITTEE

Acknowledging the principles set by United Nations Security Council Resolutions (UNSCR),
with emphasis on UNSCR 1373, UNSCR 2178, and UNSCR 2462,

Emphasising the role of the Financial Action Task Force (FATF) in Anti-Money Laundering
(AML) and Countering Terror-Financing (CTF),

Recognising the urgent threat posed by illicit financing of terrorism to international peace and
security, particularly in South Asia,

Deeply concerned by the increasing use of Informal Value Transfer Systems (IVTS) for terror
financing across borders,

Acknowledging that violent extremist organisations exploit weak regulatory frameworks in South
Asian states to launder money and raise funds,

Noting with appreciation the work of the Asia/Pacific Group (APG) on Money Laundering in
monitoring illicit financial flows,
Alarmed by reports of charities, Non-Governmental Organisations (NGOs) and front companies
being misused to channel funds for violent extremism,

Taking Note of the role of digital financial systems, cryptocurrencies, and online value transfer
systems facilitating anonymous terror financing,

Acknowledging that porous borders and informal cash economies in South Asia exacerbate the
difficulty of monitoring illicit transfers,

Emphasising that combating terrorism financing requires respect for state sovereignty while
fostering international cooperation,

Recognising that terror financing undermines economic development, foreign investment, and
social stability in South Asia,

Taking into account commendable efforts made by the Shanghai Cooperation Organisation
(SCO) - Regional Anti-Terror Structure (SCO-RATS) in preventing terror financing in South
Asia,

Gravely concerned by the exploitation of remittance channels to funnel funds towards terrorist
groups,

Acknowledging the role that the People’s Bank of China (PBoC) plays geographically in
countering terror financing in South Asia,

Reaffirming the importance of the International Convention for the Suppression of the Financing
of Terrorism (ICSFT) (1999),

Stressing the importance of regional cooperation through organisations such as the South Asian
Association for Regional Cooperation (SAARC) in tackling illicit financial flows,

Mindful of the challenges that developing states in South Asia face in building strong AML and
CTF infrastructures,

Conscious of the misuse of humanitarian aid and relief funds in conflict-prone areas of South
Asia to finance terrorism,

Taking into account that unchecked terror financing perpetuates radicalisation and prolongs
armed conflicts in South Asia,
 1.​ Suggesting the FATF to better track and report states whose funding goes to violent
extremism:
a.​ Violating Member States can be condemned under UNSCR 1373,
b.​ Violating Member States may further be prosecuted in the International Court of
Justice (ICJ);

2. Recommends the upgrade of customs and trade monitoring systems to detect trade-based
money laundering;

3. Urges Member States to either ban or strictly regulate and license IVTS like Hawala based on
state choice and authority:
a.​ Requests the FATF to come up with IVTS regulations for pro-IVTS Member States to
follow

4. Calls for Member States to extend modern banking systems and new financial technology to
rural areas;

5. Urging UN cooperation with the Egmont group of Financial Intelligence Units (FIUs) to
surveil and monitor funds potentially being used for violent extremism;

6. Proposes trial at the International Criminal Court (ICC) for individuals found engaging in
terror financing under Article 8 of the Rome Statute for facilitation of War Crimes;

7. Suggests the United Nations Security Council (UNSC) Military Staff Committee (MSC) to
cooperate with SCORATS for financial intelligence on terror financing in South Asia;

8. Urges reinforcement of existing regional counter-terror finance mechanisms, including

9. Recommends collaboration between APG and United Nations Counter Terror Executive
Directorate (UNCTED) and the FATF to address misuse of finance through new regulatory
changes;

10. Encourages Central Banks of the world to adopt regulatory developments made by the PBoC
to harmonise regional standards against terror financing;

11. Calls for the use of funds extradited from terrorist groups to be allocated to further develop
AML and ATF laws;
12. Requests for proportionate virtual asset supervision by governments to prevent misuse of
virtual assets in terror financing;

13. Suggests vocational training for youth to prevent youth exposure to terror financing and
terrorism;

14. Encourages member states to strengthen governmental oversight of charities and NGOs,
ensuring transparency to support AML/ATF;

15. Urges improvement of financial literacy in rural areas through the SAARC programmes;

16. Proposes the creation of a rapid-response team with SCORATS to take action in South Asia
when terror funding is reported;

17. Encouraging enhanced financial security cooperating risk assessment and capacity
building programs in South Asia;

18. Further Encouraging Public-Private Partnerships (PPPs) using secure data-sharing,