BAKU, Azerbaijan, February 12. Iran weighs up approval of the Financial Action Task Force (FATF) conventions as a way to support the country's economy (FATF), the country's government spokesperson Fatemeh Mohajerani told reporters on the sidelines of the Cabinet of Ministers' meeting in Tehran today, Trend reports.
According to her, some parties are pulling out all the stops to keep Iran from getting off the FATF blacklist, hoping to keep the country's economy in a tight spot.
Mohajerani mentioned that Iran needs to steer clear of trouble and navigate away from any situation that could land it in hot water with sanctions.
"This is why the ratification of the CFT and Palermo conventions, which address the fight against money laundering and support for terrorist organizations, is a focal point in the country," she added.
To note, Iran's Expediency Discernment Council is currently re-examining the two conventions (CFT and Palermo) that have not been ratified in Iran. He explained that there are differing opinions within the country about the approval of these conventions, with some seeing them as detrimental, while others believe they align with the country's interests.
The Financial Action Task Force (FATF) of the Organization for Economic Cooperation and Development is an intergovernmental body that regulates the rules for combating money laundering and terrorist financing. At the last meeting of this organization, Iran was warned that if the country's program of steps is not improved, Iran may be added to the list of non-cooperative countries. Iran has complied with 37 out of 41 FATF steps.
The remaining four steps or conventions fall under the scope of the legislation. "Amendments to the Law on Combating Money Laundering," "Amendments to the Law on Combating the Financing of Terrorism," "Accession to the International Convention on Combating Transnational Organized Crime (Palermo)," and Accession to the International Convention on Combating the Financing of Terrorism (CFT) have been drafted by the Iranian government and sent to the parliament. Although the four conventions were approved by the parliament and sent to the Advisory Council, the CFT conventions and the Palermo Convention have not yet been approved by the mentioned council.
The G7 group founded the FATF in 1989 to address money
laundering. The organization comprises 37 members, with its
administration situated in Paris.
The FATF designated Iran as a high-risk jurisdiction in 2007 and
enacted formal sanctions on Tehran in 2009. Consequently, nations
needed to exercise prudence in financial and banking transactions
with Iran. Since 2016, diplomatic initiatives have postponed the
implementation of retaliatory actions on Iran.
Additionally, the FATF designated Iran as a non-cooperative country
(blacklist) on February 21, 2020.
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