Current Affairs - International - Discussion

China was elected as vice chair of Financial Action Task Force (FATF), a global body mandated to combat terror financing and money laundering. In its plenary meeting in Paris, FATF had placed Pakistan under "grey list" subject to direct monitoring and intense scrutiny by International Cooperation Review Group till June 2018 for compliance of Anti-Money Laundering and Combating Finance of Terrorism regulations. Pakistan was on the same list from 2012 to 2015. FATF is an inter-governmental policy making body that aims to establish international standards for combating money laundering and terrorist financing. It was established in 1989 during the G7 Summit in Paris (France) to combat the growing problem of money laundering. It comprises over 39 member countries including India. FATF Secretariat is housed at the headquarters of the OECD in Paris. Initially, FATF was only dealing with developing policies to combat money laundering. But in 2001 its purpose was expanded to act against terrorism financing.