The FATF challenge

This is apropos a Business Recorder op-ed “Documenting economy thru financial inclusion” carried by the newspaper a few days ago. The writers, including Dr Ikramul Haq, have pointed out, among other things, that “Pakistan is already accused of not fully regulating the informal sector and State Department in their report mentioned that Hundi and Hawala system still exists in the country.

Pakistan needs proper regulation to ensure that any natural or legal person operating as money value transfer service provider should be licensed and registered otherwise, it would continue to pose potential threats to our financial system.” These honourable writers, in my view, are spot on; their views are completely accurate.

We must not lose sight of our precarious position or status in relation to the FATF. Any complacency on our part will only add to our misery. Complying with all the FATF requirements is necessary to improve our global standing. It is highly important to highlight the fact that forces that are inimical to Pakistan are working overtime.

Khurrum Raza (Karachi)

Copyright Business Recorder, 2021