Being on FATF ‘Grey List’ a setback for any nation, Pressure is on Pak: Army Chief Bipin Rawat

Indian Army Chief General Bipin Rawat in Chennai, Monday. (PTI Photo)

A day after the Financial Action Task Force (FATF) warned Pakistan of action for failure to tackle terror financing, Indian Army chief General Bipin Rawat Saturday said that to be on the 'Grey List' is a setback for any nation. Speaking to news agency ANI, the Army chief was quoted as saying, "There is pressure on them. They have to take action. We would like them to work towards restoring peace. To be on such a 'Grey List' is a setback for any nation."

On Friday, the Paris-based international watchdog retained Pakistan on the Grey List and warned of action if it fails to combat money laundering and terror financing. It said that chances of Pakistan exiting the Grey List in the next few years are now reduced to nil and the possibility of a formal Black Listing in February 2020 is now highly probable.

Last year in June, Pakistan was placed under Grey List by the FATF and given a plan of action to complete it by October 2019, or face the risk of being placed on the Black List with Iran and North Korea. By remaining on the “Grey List”, it would be difficult for Pakistan to get financial aid from the IMF, World Bank and European Union, making its financial condition more precarious.

The FATF is an inter-governmental body established in 1989 to combat money-laundering, terrorist financing and other related threats to the integrity of the international financial system.

National Security Advisor Ajit Doval, who attended the FATF meeting in Paris earlier this week, had said that Pakistan is under a lot of pressure to rein in terror groups operating from its soil. “One of the biggest pressures that is coming on Pakistan today is because of the procedure of the FATF, I guess. The FATF has put so much pressure on them that no other action could have been so,” Doval said.