The misfortune of Pakistan has not ended yet. The country which has faced a series of backlashes in international community has again face a major setback. The Financial Action Task Force (FATF) has blacklisted the country.
The Asia-Pacific Group, a regional affiliate of the FATF has placed Pakistan in the ‘Enhanced Expedited Follow Up List (Blacklist)”. Pakistan has put in this list as it has failed to meet the FATF’s standards.
The FATF is the global watchdog for terror financing and money laundering. The APG was conducting its five-year evaluation of Pakistan’s progress on upgrading its systems in all areas of financial and insurance services and sectors.
The decision came after seven hours of discussion which spanned over two days. The meeting held at Canberra in Australia has evaluated the the compliance report submitted by pakistan.
Pakistan has failed in 35 parameters out 40 which APG has laid out. Pakistan has also failed in 10 effectiveness parameters out 11.
Now Pakistan has to show compliance in both MER and the FATF action plan in the next plenary session of the FATF . The next plenary session of FATF will take up the final review of Pakistan’s case in October.
But the pakistan government has declined the news that FATF has put the country in the blacklist.
The Financial Action Task Force (FATF) is an inter-governmental body established in 1989. The objectives of the organization are to set criteria and standards and promote effective implementation of legal, regulatory and operational measures for combating money laundering, terror funding and other related threats to the integrity of international financial system.