Pakistan placed in Blacklist of FATF-APG: The Asia Pacific Group (APG) of the Financial Action Task Force puts Pakistan on ‘Enhanced Blacklist’ for failing to combat terrorism, money laundering and meeting the required global standards. The decision to put Pakistan on the blacklist was taken during the 41 member Plenary meeting that lasted for over 7 hours in two days in Canberra, Australia. Pakistan was put in the Blacklist (also known as Expedited Follow Up List) due to the following reasons:
– Pakistan was non-compliant in 32 of the 40 Compliance Parameters on Money Laundering & Terror Financing.
– Pakistan was low in 10 of the 11 Effectiveness Parameters
Pakistan now has to focus on avoiding its entry into the Financial Action Task Force (FATF) Black List in October 2019. FATF will hold a Plenary meeting in Paris in October 2019 to decide on Pakistan’s Greylist status. FATF added Pakistan on its Grey List in June 2018.
FATF Asia-Pacific Group is one of the regional affiliates of the Financial Action Task Force.
About Financial Action Task Force (FATF)
• The Financial Action Task Force (FATF) was is established in 1989 during the G7 Summit in Paris (France) as an inter-governmental body by the Ministers of its Member jurisdictions.
• FATF is an international anti-money laundering regulator that establishes international standards for combating money laundering and terrorism.
• FATF Secretariat is headquartered in Paris as ‘Organisation for Economic Co-operation and Development (OECD)’.
• FATF’s decision are taken by the ‘FATF Plenary’, the decision making body that holds FATF plenary sessions in February, June and October every year.
• FATF Plenary consists of around 39 member countries including India.
- China is the current President of the FATF.