‘Failing To Meet FATF Obligations Will Be Devastating For Pakistan’s Economic Reform Programme’: US

United States Acting Assistant Secretary of State Alice Wells on Friday (24 January) said that if Pakistan fails to meet the obligations of the Financial Action Task Force (FATF), it would be devastating for the Islamic republic’s economic reform programme, reports Business Standard.

According to the report, the comment by Wells comes a day after Pakistani Foreign Minister Shah Mahmood Qureshi claimed that his country had made considerable progress on the requirements of the FATF and that it should be taken off the International terror financing watchdog’s ‘grey list’.

Wells, who just returned to Washington after completing her trip to the region including a visit to Islamabad, told the reporters that it would be devastating for Pakistan’s economic reform programme, if the country does not meet FATF obligations or were to fail and be blacklisted.

The top US diplomat was responding to a question on the possibility of the funding by the International Monetary Fund (IMF) getting affected if Pakistan does not meet the FATF regulations or rules.

Wells, however, added that the United States was pleased to see the progress made by Pakistan towards fulfilling FATF obligations.

She added that it would be up to the task force to evaluate the performance of Pakistan.

The FATF in October last year decided to keep Pakistan on its 'Grey' list for failure to curb funnelling of funds to terror groups Lashkar-e-Taiba, Jaish-e-Mohammad and others.

If not removed off the list by April, Pakistan may move to a blacklist of countries that face severe economic sanctions, such as Iran.