FATF and Pakistan
Date: 12 March 2022 Tags: International OrganizationsIssue
The FATF has retained Pakistan on its “grey list” and asked the country to address the deficiencies.
Background
Pakistan is on the grey list of the Paris-based Financial Action Task Force (FATF) since June 2018.
Details
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The Financial Action Task Force (FATF) is a global money laundering and terrorist financing watchdog.
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It has accused Pakistan of failing to check money laundering, leading to terror financing. Islamabad had time till October 2019 to address the concerns.
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The watchdog has appreciated some of the measures taken by Pakistan to fight financial crimes. It has however not completely acted on its commitment.
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With the help of countries such as Malaysia, Turkey and China, Pakistan has so far been successful in avoiding the black list.
Measures by Pakistan
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The country has committed to strengthen its anti-money laundering/combating the financing of terrorism (AML/CFT) regime and to address its strategic counter-terrorist financing-related deficiencies.
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The organization has asked Pakistan to target terror financing investigations and prosecutions on senior leaders and commanders of UN-designated terrorist groups.
FATF
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The inter-governmental organization was established in 1989 to combat money laundering, terrorist financing and other related threats to the integrity of the international financial system.
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The group currently has 39 members including two regional organizations in form of European Commission and Gulf Cooperation Council.