FATF (representative photo) Photograph:( Others )
The Financial Action Task Force (FATF) on Tuesday decided "in principle" that Pakistan will remain on its grey list till February 2020.
In a major development, the Financial Action Task Force (FATF) on Tuesday decided "in principle" that Pakistan will remain on its grey list till February 2020 and directed the country to take "extra measures" for the "complete elimination" of terror financing and money laundering.
The meeting of the international watchdog reviewed the measures taken by Pakistan to control money laundering and terror financing, and observed that Islamabad will have to take further steps on the two parameters in these four months, reported Dawn.
The formal announcement of these decisions will be made on October 18.
The country was placed on the Grey List by the watchdog in June 2018 and was given 15 months to complete implementation of a 27-point action plan, failing which it be placed in the Black List.
It included safeguards against money-laundering and terror-financing by banned outfits and non-government entities through banking and non-banking jurisdictions, capital markets, corporate and non-corporate sectors like chartered accountancy, financial advisory services, cost and management accountancy firm, jewellery and similar related services.
According to Dawn, the FATF has linked the blacklisting of Pakistan with "unsatisfactory steps" to curb money laundering and terror financing. The watchdog will make its final decision in February 2020.
The report said that China, Turkey and Malaysia appreciated the steps taken by Pakistan, and on the outright support extended by these countries, the FATF decided not to include Pakistan on the blacklist and give it more time to implement the remaining measures.
On being asked about the development, Pakistan Finance Ministry spokesperson Omar Hameed Khan responded, "it is not true and nothing before October 18".
A Pakistani delegation led by Minister for Economic Affairs Hammad Azhar told the meeting that the country has made positive progress in 20 out of 27 points. The FATF expressed satisfaction on the measures taken by Pakistan and its progress in various areas.