Pakistan which is already has been placed in the ‘Grey List’ had time till October to complete actions against money laundering and terror financing. If the watchdog finds that Islamabad has not taken any steps to act against terror groups then it can be placed in the ‘Black List’

The country has already been placed in the ‘Grey List’

The FATF had slammed Pakistan for not doing enough to check terror financing and warned of stern action

Islamabad: The Financial Action Task Force (FATF) is set to meet in Paris today to assess whether Islamabad has taken concrete steps to curb terror financing and money laundering as mandated by the global watchdog task force.

If the watchdog finds that Islamabad has not taken any steps to act against terror groups then it can be placed in the ‘Black List’. Once Pakistan finds itself in the Black List it will not be able to get loan and aid from international financial institutions like the IMF and World Bank.

The country has already been placed in the ‘Grey List’ (watch list) and it had time October to complete actions against money laundering and terror financing.

Created by G-7 in 1989 to combat money laundering, the FATF got a new mandate in 2001 to act on terror financing.

At its last Plenary held in June, the FATF had slammed Pakistan for not doing enough to check terror financing and warned of stern action if it did not comply with the requirements by October.

Issuing a statement on June 22 after its three-day meet, the global body observed that not only did Pakistan fail to complete its action plan with January deadlines but also failed to complete its action plan due May 2019.