Pakistan retained on 'Grey list' of FATF

New Delhi: Pakistan continues to remain in the 'Grey list' of the Financial Action Task Force (FATF) for its failure to check terror funding, according to reports quoting sources. The global terror financing watchdog also warned Islamabad that stern action will be taken if it fails to check the flow of money to terror groups like the LeT and the JeM.

The development means that it would be very difficult for the country to get financial aid from the IMF, the World Bank and the European Union, making its financial condition even more precarious. The decision was taken at the plenary meeting of the FATF, which took place in Paris after the conclusion of the February 16-21 group meetings.

The FATF has also warned Pakistan that if it does not complete a full action plan by June, it could lead to consequences on its businesses, a source said.

The plenary noted that Pakistan addressed only a few of the 27 tasks given to it in controlling funding to terror groups like the Lashkar-e-Taiba (LeT), the Jaish-e-Mohammad (JeM) and the Hizbul Mujahideen, which are responsible for a series of attacks in India.

If Pakistan fails to comply with the FATF directive, there is every possibility that the global body may put the country in the 'Black List' along with North Korea and Iran. India has been maintaining that Pakistan extends regular support to terror groups like the LeT, the JeM and the Hizbul Mujahideen, whose prime target is India, and has urged the FATF to take action against Islamabad. With agency inputs

(Image from thehindu.com)