PARIS–Myanmar was added on Friday to a global financial blacklist while Russia was sidelined by the international money-laundering watchdog FATF.
The move by the Financial Action Task Force (FATF) puts Myanmar alongside North Korea and Iran as outcasts of the global financial system.
Citing a “continued lack of progress” and the fact the majority of the actions Myanmar had promised to take had not been completed more than a year after a deadline, the FATF put the country on the so-called blacklist.
Other nations are required to apply enhanced measures to screen transactions with countries on the blacklist to prevent money laundering and terrorist financing.
Those measures can act as an impediment to trade and investment.
The Paris-based FATF also further cut back Russia’s role in the organisation due to its invasion of Ukraine.
Russia “is sidelined at the FATF”, said the organisation’s director, Raja Kumar.
FATF had already taken some measures to exclude Russia in June.
“Russia’s actions continue to violate FATFs core principles, which aim to promote security, safety and the integrity of the financial system,” the FATF said.
Nicaragua and Pakistan were taken off the FATF’s grey list of countries subject to increased monitoring of financial transactions.
Twenty-four countries remain on the grey list.
Pakistan’s foreign ministry said in a statement the decision was “much-awaited good news”.
“Congratulations to the people of Pakistan,” Foreign Minister Bilawal Bhutto Zardari tweeted.
Topics: Financial Action Task Force, global financial blacklist, money laundering, Myanmar blacklisted, Pakistan, Russia
Source: The Irrawaddy