Context: Pakistan is likely to remain on the grey list of the Financial Action Task Force (FATF) for failing to comply with the global terrorist financing watchdog’s deadline to prosecute and penalise terrorist financing in the country.
More on news:
- At the FATF meeting chaired by China in Paris in February this year, Pakistan had been told that “all deadlines” will expire if they didn’t prosecute and penalise terrorist financing by June 2020.
- However, Pakistan received another extension on the “greylist”, as the Financial Action Task Force (FATF) plenary session decided to continue all countries under scrutiny for Terror Financing and Money Laundering until October 2020.
- Recently the U.S. vetoed Pakistan’s joint effort with China to list an Indian engineer on the UN Security Council (UNSC)’s 1267 list.
- The Financial Action Task Force (on Money Laundering) (FATF) is an intergovernmental organization founded in 1989 on the initiative of the G7 to develop policies to combat money laundering
- As a policy-making body, the FATF works to generate the necessary political will to bring about national legislative and regulatory reforms in these areas.
- The FATF reviews money laundering and terrorist financing techniques and continuously strengthens its standards to address new risks, such as the regulation of virtual assets, which have spread as cryptocurrencies gain popularity.
- The FATF monitors countries to ensure they implement the FATF Standards fully and effectively, and holds countries to account that do not comply.
- FATF has maintained the FATF blacklist (formally called the "Call for action") and the FATF greylist (formally called the "Other monitored jurisdictions").
- The FATF Secretariat is located at the OECD headquarters in Paris.
The UNSC resolution 1267 was adopted unanimously on October 15, 1999. It is a consolidated list of people and entities that the UN has determined as being associated with Al Qaeda or the Taliban, and laws which must be passed within each member nation to implement the sanctions.
Image Source: Indian Express