PAKISTAN TO REMAIN ON FATF ‘GREYLIST’

PAKISTAN TO REMAIN ON FATF ‘GREYLIST’

Pakistan received another extension on the “greylist”

Financial Action Task Force (FATF) plenary session decided to continue to keep all countries that were on the list under scrutiny for Terror Financing and Money Laundering until October 2020

 

Pakistan allowed groups targeting Afghanistan as well as groups targeting India to operate from its territory

Financial Action Task Force (on Money Laundering) (FATF): An intergovernmental organization

 

FATF Secretariat is located at the OECD headquarters in Paris

 

FATF was formed by the 1989 G7 Summit in Paris

 

FATF's Forty Recommendations on money laundering of 1990 are the primary policies issued by FATF and the Nine Special Recommendations (SR) on Terrorism Financing (TF)

By 1996 the Recommendations had to be updated to include more than just drug-money laundering, as well as to keep up with changing techniques 

Since 2000, FATF has maintained the FATF blacklist (formally called the "Call for action") and the FATF greylist (formally called the "Other monitored jurisdictions")

October 2001 the FATF issued the original eight Special Recommendations on Terrorism Financing, following the September 11 terrorist attacks in the United States. Among the measures, "Special Recommendation VIII" (SR VIII) specifically targeted nonprofit organizations 

In 2003 the Recommendations, as well as the 9 Special Recommendations were adjusted for the second time. The Recommendations, and Special Recommendations were advocated by over 180 countries 

FATF completely revised the Forty Recommendations in 1996 and 2003

In February 2012, the FATF codified its recommendations and Interpretive Notes into one document that maintains SR VIII (renamed “Recommendation 8”), and also includes new rules on weapons of mass destruction, corruption and wire transfers (“Recommendation 16”)

Objectives: To set standards and promote effective implementation of legal, regulatory and operational measures for combating money laundering, terrorist financing and other related threats to the integrity of the international financial system 

FATF monitors progress in implementing its Recommendations through "peer reviews" ("mutual evaluations") of member countries 

Countries are subjected to evaluation by FATF to see that they are upholding laws and regulations enforced by FATF 

At the time of its formation, FATF had 16 members

As of 2019 FATF had 39 full members, comprising 37 member (Argentina,  Australia, Austria,  Belgium,  Brazil,  Canada,  China,  Denmark,  Finland,  France,  Germany,  Greece,  Hong Kong, China (originally joined under the designation  Hong Kong in 1991)  Iceland,  India,  Ireland,  Israel,  Italy,  Japan,  Luxembourg,  Malaysia,  Mexico,  Netherlands,  New Zealand,  Norway,  Portugal,  Russian. Federation.  Saudi Arabia,  Singapore,   South Africa,  South Korea,  Spain,  Sweden,   Switzerland,   Turkey,   United Kingdom,  United States) jurisdictions and two regional organisations (European Commission, Gulf Cooperation Council)

Members of the FATF regional bodies that are not full FATF members are entitled to attend FATF meetings 

30 countries and international organisations are observer organisations.