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- Financial Action Task Force (FATF) has said that Pakistan needs to launch a diplomatic effort to secure enough support to come out of the greylist or to prevent itself from falling into the blacklist.
- This statement came after a 10-member Pakistani delegation attended a meeting of the Asia-Pacific Group (APG) where it defended Pakistan’s efforts against money laundering and terror financing.
- The delegation has said that Pakistan has taken aggressive steps in terms of regulatory and monitoring mechanism to meet the FATF requirements and its legal system is also up to the mark except some amendments to the Anti-Money Laundering Act (AMLA),2010.
- In June 2018, FATF had placed Pakistan on the grey list of countries. Pakistan was put on the grey list after its domestic laws were considered weak to tackle the challenges of money laundering and terrorism financing.
- The FATF is an inter-governmental body established in 1989 on the initiative of the G7.It is a policy-making body which works to generate the necessary political will to bring about national legislative and regulatory reforms in various areas.The FATF Secretariat is housed at the OECD headquarters in Paris,France.
- The objectives of the FATF are to (a) set standards and promote effective implementation of legal, regulatory and operational measures (b) for combating money laundering (c)terrorist financing and (d) other related threats to the integrity of the international financial system.
- The APG is the FATF-style regional body for the Asia-Pacific region.APG was founded in Bangkok,Thailand in 1997 as an autonomous regional anti-money laundering body by unanimous agreement among 13 original founding members.
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