Nepal’s Finance Minister, Bishnu Paudel, asserts the nation’s intent to exit the FATF grey list for money laundering and terrorist financing before the two-year deadline, attributing the previous government’s actions to its current status. The goal is to implement necessary reforms and measures to avoid more severe sanctions.
Nepal’s Finance Minister, Bishnu Paudel, has expressed confidence that the nation will exit the Financial Action Task Force (FATF) grey list concerning money laundering and terrorist financing ahead of the two-year deadline. In a session addressing lawmakers, Minister Paudel attributed Nepal’s inclusion in the FATF list to the previous government’s shortcomings.
Emphasizing the government’s commitment, Paudel stated, “We are under intensive monitoring, which in commonly understood language is called the grey list. The government is dedicated; we will complete all necessary procedures and exit the list.” He further mentioned his intention to present a white paper in Parliament soon, detailing the government’s strategies to ensure a swift exit from the grey list.
Nepal has previously faced similar challenges, having been on the grey list between 2008 and 2014. This latest designation, made during the FATF plenary meeting in February 2023, underscores the need for substantial reform in Nepal’s financial systems to adhere to international standards. Failure to exit the grey list within two years risks relegation to the black list, which would entail severe financial repercussions.
Countries on the grey list are labeled as “jurisdictions under increased monitoring” due to their deficiencies in anti-money laundering (AML) and counter-terrorist financing (CFT) measures. These countries are granted two years to implement necessary legislative changes and enforcement actions to demonstrate progress.
Following an extension granted in July 2023, Nepal was allotted until October 2024 to rectify its compliance failures, which include insufficient legal and policy reforms. To avoid falling into the black list, the government must implement stringent measures against illegal asset management and diligently address the FATF’s concerns.
In conclusion, Nepal’s commitment to lifting itself from the FATF grey list is strengthened by Minister Paudel’s assurance of timely reforms within two years. Accountability for previous leadership failures is acknowledged, and the government’s forthcoming action plans aim to meet international standards. The urgency to enforce anti-money laundering and counter-terrorist financing measures is now critical for avoiding further financial sanctions.
Original Source: thenewsmill.com
