BAKU, Azerbaijan, May 17. Iran is working to be removed from the Financial Action Task Force’s (FATF) list of non-cooperative jurisdictions, also known as the “blacklist,” Trend reports, citing Iran’s Financial Intelligence Unit.
The ratification of two key international conventions—the Convention against Transnational Organized Crime (Palermo) and the International Convention for the Suppression of the Financing of Terrorism (CFT)—is essential for Iran to be delisted. The unit emphasized that the removal of FATF’s countermeasures against Iranian citizens, especially exporters, producers, and investors, hinges on this approval.
The unit added that the Palermo Convention has already been ratified by Iran’s Expediency Council, and it is expected that the CFT Convention will also be reviewed and approved soon.
"The Iranian Ministry of Economic Affairs and Finance and the Financial Intelligence Unit are actively assisting in the legislative process to finalize these approvals," the center said.
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.
The Financial Action Task Force (FATF) designated Iran as a
non-cooperative country (blacklist) on February 21, 2020.
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