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      Home Business Finance

      Financial Action Task Force Suspended Russia’s Membership

      by Shubham Dayal
      February 25, 2023
      in Finance, International
      Reading Time: 2 mins read
      Financial Action Task Force

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      The Financial Action Task Force (FATF) suspended its membership of Russia on the war’s first anniversary with Ukraine. FAFT is responsible for the security, safety, and integrity of the financial system, but Russia’s actions are the opposite of the core principles of FATF. Due to this reason, the department suspends Russia’s membership.

      Financial Action Task Force marked South Africa and Nigeria as the grey list countries to stop money laundering and terrorist financing. Both countries agreed to work on the commitments they made to the FAFT. As they are already in the high investigation, they are committed to resolving the matter and will justify everything within the given timeframe.

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      Financial Action Task Force

      Also Read: Linking UPI with UAE and Singapore: India’s plan to expand UPI’s reach as per G20 Meeting.

      How Financial Action Task Force Work?

      FAFT manages financial matters and rechecks everything to see if every country works according to the standards. Putting the countries on a grey list can drop the economic graph of the nations, which means these countries are not following the principles of FAFT. This organization rates the nations and investments based on the grading given by the FAFT. As a result, the nations wouldn’t get investment in the country for growth.

      The effects will be seen when it comes to getting credit or borrowing from international financial institutions.

      Tags: FAFTRussia
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