FATF: Iran's Deadline for Implementing the 'Action Plan' Ends in January Next Year

The Financial Action Task Force (FATF), which combats money laundering and terrorist financing worldwide, has welcomed Iran's actions in implementing the 'Action Plan' and stated that the deadline for this program ends on January 31, 2018. The group will make decisions regarding Iran's status and progress in February of next year. According to the FATF website, the group held a meeting in Buenos Aires from November 1 to 3. The FATF noted that in June 2016, it welcomed the commitment of Iranian officials to address strategic deficiencies in combating money laundering and terrorist financing and to receive technical assistance for implementing their 'Action Plan.' Due to Iran's commitment to these actions and necessary steps taken, the FATF decided in June 2017 to keep its punitive measures against Iran suspended. The FATF referred to a request from the Iranian Central Bank officials last July, which reached an agreement on combating money laundering and terrorism. Following this agreement, the group announced that the financial and monetary restrictions on Iran's banking system would be suspended for 12 months. This deadline was extended again in July of this year. The FATF added in its report that the deadline for Iran's 'Action Plan' implementation will end on January 31, 2018, and the group urges the country to implement necessary reforms, particularly addressing deficiencies in combating money laundering and terrorist financing. The FATF will review Iran's progress in its February 2018 meeting and take necessary actions. The FATF emphasized that until all aspects of the 'Action Plan' are implemented in Iran, the country will remain on the FATF's public list, and concerns regarding the risk of terrorist financing through Iran and its threats to the international financial system will persist until the identified deficiencies in this program are resolved. The FATF has requested all member countries to alert their financial institutions to exercise special control and oversight over financial and banking transactions originating from Iran and to comply with Recommendation 19 of the group. In recent years, the FATF has expressed particular concern over Iran's inability to address concerns regarding the risks of financing terrorist groups and other threats that jeopardize the integrity of the international financial system. Established in 1989, the FATF monitors international standards against money laundering, terrorist financing, and weapons of mass destruction.