The Virtual Meeting of the Financial Action Task Force (FATF), a global body to combat money laundering and terrorist financing, will run from October 21 to October 23. The Pakistani government hopes to remove Pakistan from the gray list. Will be fired.
However, experts say that the FATF will continue to put pressure on Pakistan and it will be difficult for Pakistan to get out of the gray list, according to a report by the Asia-Pacific Group, based on the recommendations of the Financial Task Force. The FATF had provided Pakistan with a list of 27 points. By February 2020, Pakistan had implemented 14 of them.
However, the FATF had directed Pakistan to implement the remaining 13 points while keeping it on the gray list. The FATF had urged Pakistan to expedite the completion of its entire action plan by June this year. It will be added to the watchdog's list, commonly referred to as the Watchdog's "blacklist." On the other hand, the implementation of the recommendations of the FATF has increased the difficulties for ordinary Pakistanis. After the implementation of these recommendations, it has become extremely difficult for ordinary citizens in the country to open bank accounts, keep money in banks and make transactions. While there are no restrictions of any kind for the elite.
The small business community is also severely affected by the implementation of the FATF recommendations as it is difficult for less educated shopkeepers and small businesses to keep records nor do they have audit facilities to conduct small businesses as directed by government agencies. It has also been made mandatory for the shopkeepers to submit audit report and file tax returns. Similarly, it is the responsibility of the shopkeepers to keep the data of the citizens who have made excessive purchases with a copy of the ID card. The investor is sitting in the houses.
According to a report, while the number of migrants from Pakistan has increased to a record level, capital from Pakistan is shifting to different countries of the world as the business community is shifting its business to different countries considering Pakistan as an unsafe country for investment. That is why, despite all the incentives and efforts of the government, the investor is not willing to invest within the country.
It may be recalled that the Government of Pakistan had assured the Financial Action Task Force that it would develop an effective system for scrutinizing other matters including necessary legislation within the stipulated time frame. Was informed about the completion of 10 out of 27 points and the situation. The joint sitting of Parliament considered the terms of the FATF and agreed to improve Pakistan's legal system in accordance with international standards and the requirements of the FATF. In this regard, Parliament amended 15 laws. Also approved.
Despite all these measures, analysts are predicting that Pakistan's problems at next week's FATF Asia-Pacific Summit may be somewhat lessened but will not end. Urdu Point Editor Mian Muhammad Nadeem said last month's Asia-Pacific Group report made it clear that it was difficult for Pakistan to get off the gray list. He said the Corona epidemic was causing economic hardship around the world and almost all countries were facing financial crisis. Negotiations with oversight bodies such as the FATF have gained more time to review agreements and implement recommendations, but the Pakistani government and relevant agencies have shown criminal negligence in this regard.
He said that people are under severe economic pressure and according to Gallup report 85% of Pakistanis are facing imbalance in income and expenditure. The country's economy is being run by unelected people and government writ is not visible in any sector. He said that FATF pressure on Pakistan would continue. The Pakistani government has shown negligence in the negotiations to review its agreements with international financial institutions, which has resulted in the whole nation in the form of inflation and unemployment. Mian Nadeem said that the matter is as simple as the government is presenting it. In the big problems of Pakistan, the unelected people are running the national economy. From the prices of essential commodities to the devaluation of the rupee. It is very unfortunate to keep Parliament indifferent.
He said that if Pakistan was removed from the gray list, it would be a great achievement but there was a strong possibility that the FATF would take the steps taken by Pakistan as insufficient and keep it on the gray list. More than laundering will be to maintain international pressure. It should be noted that the Financial Action Task Force is an international organization comprising representative organizations of different countries. The main objective of this body is to prevent the international financial system from being used for extremism and terrorism. I added Pakistan to my gray list to assess what practical steps Pakistan is taking to curb the financing of extremists, terrorists and terrorists.
In this regard, the FATF had given Pakistan time till October 2019, which was later extended for four months. In February 2020, the FATF recognized that Pakistan had received FATF. Out of the 27 demands made, 14 have been complied with. However, the FATF has expressed concern that Pakistan has been placed on the gray list for failing to take any significant steps in this regard.
Mian Nadeem says that if you look at the past record, world politics has always been influential in the FATF meeting, although Pakistan has played an important role in the negotiations between Afghanistan and the United States and Pakistan has benefited from it. He said that he wanted to meet but it does not seem to be happening. He said that the role of the United States in the Asia-Pacific group can not be said yet because in this group there are Saudi Arabia, Malaysia, China who will play their role. But India's influence is huge.
"It's unfortunate that not all decisions at the FATF meeting are based on merit," he said. "Global politics has always had an impact on the FATF meeting and it will continue to have an impact." The barometer of how much the United States can help Pakistan is that if the help of the United States is involved then Pakistan will get out and if it is not then it will be difficult.
So far, the situation shows that Pakistan will not be able to get help from Washington. He said that the United Nations is the only international body in the world which was established by 51 countries to resolve disputes between nations and make decisions for the international community. It gained the support of 193 member states in just a few years. Many UN subsidiaries are also working on money laundering and economic affairs, so instead of blackmailing small countries by making the world's most powerful countries like FATF, the UN The power of the United States should have increased.
Mian Nadeem said that if one looks at the list of FATF member countries, the fact comes to light that whether it is a South Asian country like Pakistan or poor countries in Africa, the money looted from all over the world is still FATF. F. and goes to the powerful countries that affect the United Nations, but to date these countries have not taken any steps to prevent it. He said that blacklisting refers to a country where money laundering and terrorism are not financed, while countries on the blacklist are called "disease states" and are currently on the FATF's blacklist. I include North Korea and Iran, which are subject to strict economic sanctions.
