Placement on FATF watch list will have little impact: Envoy

washington — Pakistan’s ambassador to the United States Ali Jehangir Siddiqui has said there would not be any major impact on the country‘s economy after being placed on a watch list by an international task force, adding that Islamabad hoped to get off the list within 15 months.

After being put on the watch list by the Paris-based Financial Action Task Force (FATF), the government has vowed to further tighten rules against money laundering and be in compliance to keep Pakistan off the list.

Asked during an interview this week by a foreign media outlet if the development could impact the country’s economy and the bond market, Ambassador Siddiqui said that there would be a very slight impact.

Pakistan’s economy has recovered significantly in the past few years, posting a 5.5 growth in the

previous financial year. The multibillion dollars China-Pakistan Economic Corridor (CPEC) initiative has given a tremendous boost to the economy and investment.

“Pakistan was on the grey list some years ago and then we existed, but now the goals posts have moved a little in terms of (new) requirements,” the ambassador said, adding that Pakistan has all the intent to take measures to be in full compliance with the body’s requirements.

Pakistan remained on the watch list for three years until 2015, when it took certain measures to meet the standards set by FATF to be removed from the list. However it was placed on the list again in June, after being pushed hard by the United States.

Ambassador Siddiqui said that the FATF was a multilateral body and keeps coming with new recommendations to prevent terror financing. “We intend to be in compliance over the next 15 months and get off the grey list again,” he added.

The FATF has told the government what needs to be done in order to be taken off. Besides Pakistan, there are other countries on the grey list whose standards need some level of improvement.