Will Pakistan be in the gray list of FATF again? Finance Minister Mohammad Aurangzeb expressed apprehension in Shahbaz government

Pakistan may once again be included in the gray list of Financial Action Task Force. The Finance Minister here is afraid of this. Finance Minister Mohammad Aurangzeb has given a big statement saying that the country can once again go into the gray list of FATF (Financial Action Task Force). He warned that about 15% of Pakistan’s population is doing financial transactions without any investigation, rules and regulations. It is believed that Pakistan can be punished again due to relations with terrorist organizations like Jaish-e-Mohammed.

Fatf’s eye on terrorist funding
Aurangzeb tried to connect the threat of FATF to the country’s weak economy, but the reality is that the matter is related to funding and money laundering to terrorist organizations. According to reports, funds are being transferred on a large scale without any regulation to provide funds to terrorists in Pakistan. This is the reason why FATF is keeping a close watch on it.

Pakistan has been in gray-list earlier also
FATF has earlier put Pakistan in a strict monitoring list (gray-list) on charges of helping terrorists. Terrorist groups like Jaish-e-Mohammed and Lashkar-e-Taiba run their funding networks using hawala, cash transactions and now digital networks. Reports say that the government of Pakistan has also created new avenues for fund transfer.

Digital finance is increasing difficulties
If Pakistan fails to control digital finance and non-registard transactions, then it can be put in the gray-list again. According to the report by The Pakistan Tribune, Aurangzeb has warned that FATF is scheduled if the regulatory system is not strengthened. He has demanded to take strict steps immediately.

Was out of gray list in 2022
Significantly, Pakistan was put in the gray list of FATF on charges of funding terrorists in 2018. In 2022, Pakistan came out of it with great difficulty in 2022 after monitoring and accepting the conditions for a long time. Now non-registard fintech platforms, crypto wallets and hidden digital transactions can again trap Pakistan in the same trap.