{"id":31070,"date":"2025-10-22T11:33:28","date_gmt":"2025-10-22T06:03:28","guid":{"rendered":"https:\/\/vajiramandravi.com\/current-affairs\/?p=31070"},"modified":"2025-10-25T17:36:51","modified_gmt":"2025-10-25T12:06:51","slug":"financial-action-task-force","status":"publish","type":"post","link":"https:\/\/vajiramandravi.com\/current-affairs\/financial-action-task-force\/","title":{"rendered":"Financial Action Task Force (FATF)"},"content":{"rendered":"<h2><b>Financial Action Task Force (FATF) Latest News<\/b><\/h2>\n<p style=\"text-align: justify;\"><span style=\"font-weight: 400;\">The ongoing Financial Action Task Force (FATF) meetings in Paris are expected to deliberate on state sponsorship as a means to fund and support terrorism, including the financing of banned outfits and their proxies operating in Pakistan.<\/span><\/p>\n<h2><b>About Financial Action Task Force\u00a0<\/b><\/h2>\n<ul>\n<li style=\"text-align: justify;\"><span style=\"font-weight: 400;\">It is an independent <\/span><b>intergovernmental body <\/b><span style=\"font-weight: 400;\">that develops and promotes policies to protect the global financial system <\/span><b>against money laundering and terrorist financing.<\/b><\/li>\n<li style=\"text-align: justify;\"><span style=\"font-weight: 400;\">The <\/span><b>FATF Recommendations<\/b><span style=\"font-weight: 400;\"> are recognised as the <\/span><b>global anti-money laundering (AML) and counter-terrorist financing (CFT) standard.<\/b><\/li>\n<li style=\"text-align: justify;\"><b>Origin<\/b><span style=\"font-weight: 400;\">:<\/span>\n<ul>\n<li style=\"text-align: justify;\"><span style=\"font-weight: 400;\">It was <\/span><b>established in 1989 during the G7 Summit in Paris <\/b><span style=\"font-weight: 400;\">in response to a growing concern about money laundering.<\/span><\/li>\n<li style=\"text-align: justify;\"><span style=\"font-weight: 400;\">In 2001, its mandate expanded to include terrorism financing.<\/span><\/li>\n<li style=\"text-align: justify;\"><b>Headquarters: Paris, France.<\/b><\/li>\n<\/ul>\n<\/li>\n<li style=\"text-align: justify;\"><b>Members<\/b><span style=\"font-weight: 400;\">:<\/span>\n<ul>\n<li style=\"text-align: justify;\"><span style=\"font-weight: 400;\">FATF members include <\/span><b>39 countries, <\/b><span style=\"font-weight: 400;\">including the <\/span><b>United States, India, China, <\/b><span style=\"font-weight: 400;\">Saudi Arabia, Britain, Germany, France, and the EU as such.<\/span><\/li>\n<li style=\"text-align: justify;\"><b>India <\/b><span style=\"font-weight: 400;\">became a <\/span><b>member of FATF in 2010.\u00a0<\/b><\/li>\n<li style=\"text-align: justify;\"><span style=\"font-weight: 400;\">In addition, more than 180 countries worldwide are affiliated with the FATF through a network of FATF-style regional bodies (FSRBs).<\/span><\/li>\n<\/ul>\n<\/li>\n<li style=\"text-align: justify;\"><span style=\"font-weight: 400;\">The FATF <\/span><b>researches how money is laundered and terrorism is funded<\/b><span style=\"font-weight: 400;\">, <\/span><b>promotes global standards<\/b><span style=\"font-weight: 400;\"> to mitigate the risks, and <\/span><b>assesses whether countries are taking effective action.<\/b><\/li>\n<li style=\"text-align: justify;\"><span style=\"font-weight: 400;\">FATF r<\/span><b>egularly publishes reports<\/b><span style=\"font-weight: 400;\"> that raise awareness about the latest money laundering, terrorist financing, and proliferation financing techniques.<\/span><\/li>\n<li style=\"text-align: justify;\"><b>Once a member, <\/b><span style=\"font-weight: 400;\">a country or organization <\/span><b>must endorse and support<\/b><span style=\"font-weight: 400;\"> the most recent <\/span><b>FATF recommendations<\/b><span style=\"font-weight: 400;\"> and <\/span><b>commit to being evaluated<\/b><span style=\"font-weight: 400;\"> by (and evaluating) other members.<\/span><\/li>\n<li style=\"text-align: justify;\"><span style=\"font-weight: 400;\">The FATF <\/span><b>holds countries to account <\/b><span style=\"font-weight: 400;\">that do not comply with the FATF Standards.<\/span><\/li>\n<li style=\"text-align: justify;\"><b>If a country repeatedly fails to implement <\/b><span style=\"font-weight: 400;\">FATF Standards, then it can be placed under <\/span><b>the grey and black lists.<\/b><\/li>\n<li style=\"text-align: justify;\"><b>What are FATF \u2018grey list\u2019 and \u2018blacklist\u2019?<\/b>\n<ul>\n<li style=\"text-align: justify;\"><b>Black List: <\/b><span style=\"font-weight: 400;\">Countries known as <\/span><b>Non-Cooperative Countries or Territories (NCCTs) <\/b><span style=\"font-weight: 400;\">are put on the blacklist. These <\/span><b>countries support terror funding and money laundering <\/b><span style=\"font-weight: 400;\">activities. The FATF revises the blacklist regularly, adding or deleting entries.<\/span><\/li>\n<li style=\"text-align: justify;\"><b>Grey List:<\/b><span style=\"font-weight: 400;\"> Countries that are considered a <\/span><b>safe haven for supporting terror funding and money laundering<\/b><span style=\"font-weight: 400;\"> are put on the FATF grey list. This inclusion serves as a <\/span><b>warning to the country<\/b><span style=\"font-weight: 400;\"> that it may enter the blacklist.<\/span><\/li>\n<li style=\"text-align: justify;\"><b>Three countries-North Korea, Iran, and Myanmar, <\/b><span style=\"font-weight: 400;\">are currently on <\/span><b>FATF\u2019s blacklist.<\/b><\/li>\n<\/ul>\n<\/li>\n<li style=\"text-align: justify;\"><b>Consequences of being on the FATF blacklist:<\/b>\n<ul>\n<li style=\"text-align: justify;\"><b>No financial aid <\/b><span style=\"font-weight: 400;\">is given to them <\/span><b>by the<\/b><span style=\"font-weight: 400;\"> International Monetary Fund <\/span><b>(IMF)<\/b><span style=\"font-weight: 400;\">, the World Bank, the Asian Development Bank <\/span><b>(ADB),<\/b><span style=\"font-weight: 400;\"> and the European Union (<\/span><b>EU).<\/b><\/li>\n<li style=\"text-align: justify;\"><span style=\"font-weight: 400;\">They also face a number of international economic and financial restrictions and <\/span><b>sanctions<\/b><span style=\"font-weight: 400;\">.<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p><b>Source<\/b><strong>: <a href=\"https:\/\/www.thehindu.com\/news\/national\/fatf-may-discuss-state-sponsorship-of-terrorism-pakistan-entities-in-focus\/article70187083.ece\" target=\"_blank\" rel=\"nofollow noopener\">TH<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Financial Action Task Force (FATF) is an independent intergovernmental body that develops and promotes policies to protect the global financial system against money laundering and terrorist financing.<\/p>\n","protected":false},"author":5,"featured_media":31071,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[3398],"class_list":{"0":"post-31070","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-upsc-prelims-current-affairs","8":"tag-financial-action-task-force","9":"no-featured-image-padding"},"acf":[],"_links":{"self":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/31070","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/comments?post=31070"}],"version-history":[{"count":0,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/31070\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media\/31071"}],"wp:attachment":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media?parent=31070"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/categories?post=31070"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/tags?post=31070"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}