In money laundering, crime precedes the process of laundering whereas in terrorist financing clean or dirty money is pooled to support a violent act in future. The tackling of the issues is by no means an isolated activity.
It needs coordinated effort of host of stakeholders including financial institutions, regulators, law enforcement agencies and active involvement of host of other government functionaries to frustrate money laundering and terrorist financing. However, financial sector is believed to be at the core of the problem.