The Financial Action Task Force (FATF), the global anti-money laundering watchdog, on Friday put Iran on its blacklist after Tehran failed to comply with international anti-terrorism funding norms.
According to the details, Iran remains on FATF blacklist for not doing enough to counter terrorist financing risk.
The move from the global terror-financing watchdog came after Tehran failed to meet the deadline set by FATF in its October meeting.
FATF in its plenary in October had given Iran a final deadline to comply with international norms after which it would urge all its members to apply countermeasures.
“The FATF fully lifts the suspension of counter-measures and calls on its members and urges all jurisdictions to apply effective counter-measures,” the watchdog said in a statement.
In a statement, FATF said it was rescinding a suspension of the measures, granted in 2016, to give Tehran time to work on reforms.
According to FATF, Iran will remain on the FATF statement on (High Risk Jurisdictions Subject to a Call for Action) until the full Action Plan has been completed.
If Iran ratifies the UN’s 2001 Palermo Convention against organized crime and the Terrorist Financing Conventions in line with the FATF standards, the FATF will decide on the next steps, including whether to suspend countermeasures.
It also urged FATF member states and “all jurisdictions to apply effective counter-measures”.
“Until Iran implements the measures required to address the deficiencies identified with respect to countering terrorism-financing in the Action Plan, the FATF will remain concerned with the terrorist financing risk emanating from Iran and the threat this poses to the international financial system.”
The FATF said in the statement that it has recognized the progress of Iran’s legislative efforts to implement anti-money laundering and countering financing terrorism polices.
Responding to the financial watchdog’s decision, Abdolnasser Hemmati, the Central Bank of Iran’s Governor, discounted the FATF move, saying “it won’t pose any obstacle to Iran’s foreign trade and stability in currency rates”.
Iran is alone with North Korea on an FATF blacklist, which severely restricts their access to loans and international aid.
The agency has 37 nations and two regional organizations as members.