Amid the tensions over the Pulwama terror attack, Pakistan will continue to remain on the 'grey list' of the Financial Action Task Force (FATF), various media reports said on Friday, 22 February, citing sources.
The reports pointed out that the Imran Khan-led country could get blacklisted in October, which would mean it would join Iran and North Korea in the blacklist.
The decision to continue keeping Pakistan on the 'grey list' reportedly came after FATF – an international terror financing watchdog – held meetings this past week in Paris.
The FATF blacklist means the country concerned is “non-cooperative” in the global fight against money laundering and terrorist financing. It currently has 35 members and two regional organisations European Commission and Gulf Cooperation Council.
If Pakistan gets blacklisted by the international watchdogs, it would lead to downgrading of the country by multilateral lenders like IMF, World Bank, ADB, EU and also a reduction in risk rating by Moodys, S&P and Fitch.
On 16 February, PTI reported that India would send a dossier, nailing the culpability of Pakistan in the terror attack in Pulwama, to FATF to expose the neighbouring country's links with terrorism and seeking its blacklisting.
On 28 June last year, Pakistan was placed on the FATF's compliance document – or 'grey list' – for failing to curb terror financing, despite its diplomatic efforts to avert the decision.
(With inputs from News18 and PTI)
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