Joining the FATF to Serve Banking System
IRAN NEWS ECONOMIC DESK
According To Iran News,Governor of Central Bank of Iran (CBI) Abdolnaser Hemmati said on Wednesday that accession to Financial Action Task Force (FATF) will serve the banking system.
Hemmati made the remarks on the sidelines of the cabinet meeting
Asked what if the U.S. targeted Iran with more pressures after joining FATF, Hemmati replied that Tehran’s presence in the inter-governmental body will create no obstacle but bring clearer and easier banking transactions.
There is no reason for being worried about as Iran itself follows money laundering rules, the CBI governor said.
Financial Action Task Force (FATF) introduces itself as an inter-governmental body established in 1989 by the Ministers of its Member jurisdictions. The objectives of the FATF are to set standards and promote effective implementation of legal, regulatory and operational measures for combating money laundering, terrorist financing and other related threats to the integrity of the international financial system. The FATF is therefore a “policy-making body” which works to generate the necessary political will to bring about national legislative and regulatory reforms in these areas.
About Russia and China which have advised Iran to join FATF, Hemmati said it is normal that Tehran will face problems in cooperation with Beijing and Moscow if not joining the body, because they have observations that make them follow the regulations.
Not joining the FATF will have negative impact on Iran’s banking transactions, Hemmati noted.
Elsewhere, Hemmati talked of the Paris-based transactions channel, named INSTEX- Instrument In Support Of Trade Exchanges, saying that as long as the Europeans do not buy Iran’s oil and the income not be settled in the channel, their statements remain in words without action.
“Iran has taken all necessary measures based on regulations and procedure.”
Referring to the idea of a single unified cryptocurrency for Muslim countries, he said the Islamic Republic had the necessary platform to use Muslim cryptocurrency.
Hemmati emphasized that four Islamic countries of Iran, Turkey, Malaysia and Qatar will soon implement a proposal made by the Iranian president in the Muslim leaders’ summit in Kuala Lumpur, Malaysia.
He also praised the proposal for a single unified cryptocurrency for Muslim countries, saying the four countries want to avoid using the U.S. dollar in their trade and business transactions, and that Iran is ready to implement the proposal.
Hemmati also said the Central Banks of the four countries (Iran, Turkey, Qatar, and Malaysia) are closely involved in the scheme, and that if it is a success, the US dollar will be eliminated from trade between the four Muslim countries, and other Islamic nations may well join the scheme later on.