look news india
India achieves success in fight against money laundering: The Financial Action Task Force (FATF) has praised India's efforts against money laundering. The FATF assessed India during 2023-24, the report of which was adopted at the meeting held in Singapore on June 26-28. The report puts India in the regular follow-up category, which only four other countries in the G20 have been able to achieve. This is a significant achievement for India in the fight against money laundering and terror funding.
FATF appreciated these efforts of India
– Reducing the risk of money obtained from corruption, fraud and organised crime being diverted into money laundering.
– Steps taken to move towards a cashless economy, which will reduce the risk of money laundering and terror funding.
– Implementation of schemes like JAN, Aadhaar and mobile and strict regulations on cash transactions have led to a great increase in financial inclusion and digital transactions. This has made it easier to monitor transactions, thereby reducing the risk of money laundering and terror funding and increasing financial inclusion.
What impact will FATF's good rating have on India?
India's good performance in the FATF report will greatly benefit the country's growing economy. It reflects the strength and transparency of India's financial system. A good rating will give India easy access to global financial markets and institutions, which will also increase the confidence of foreign investors. This will also help in the global expansion of India's fastest growing payment system UPI. India is already a member of the FATF Steering Committee. This good rating will give India an opportunity to make a more significant contribution to the group's operations.
What did the Finance Ministry say?
The Finance Ministry said that the FATF recognition honours the stringent and effective measures taken by India over the last 10 years, which have protected the country's financial system from the threat of money laundering and terrorist funding. This rating reflects that India is committed to international standards and is playing an active role in the global fight against financial crimes. It sets an example for countries in our region to implement international standards. India's excellent rating will enhance the country's ability to play a leading role in global efforts to curb cross-border money laundering and terrorist financing. The Finance Ministry also said that India is committed to strengthening its anti-money laundering (AML) and counter-financing of terrorism (CFT) framework and continue international cooperation to fight financial crimes in the future. India will build on this success and ensure a safe and transparent financial environment for all.
What is FATF?
The Financial Action Task Force (FATF) is an intergovernmental organization created to combat money laundering, terrorist financing and other crimes that threaten the stability of the international financial system. It was established in 1989. India became a member of FATF in 2010.
