Myanmar placed in ‘blacklist’, Russia sidelined by money-laundering watchdog FATF

The Financial Action Task Force (FATF) has placed Myanmar on its "blacklist," citing a "continued lack of progress" and the fact that many of the activities it had planned to take had not been carried out more than a year after a deadline.

Apart from Myanmar, North Korea and Iran have also been declared as outcasts of the global financial system while Russia has been sidelined by the international money-laundering watchdog FATF.

To stop money laundering and the financing of terrorism, other governments are required to use increased steps to filter transactions with the nations on the blacklist.

Following the steps of FATF, trade and investment may be hampered by these measures.

Due to Russia's invasion of Ukraine, the FATF, based in Paris, further reduced the country’s involvement in the organization.

Raja Kumar, director of the FATF, claimed that Russia "is ignored at the FATF."

In June, FATF had already taken some action to exclude Russia.

The FATF removed Pakistan and Nicaragua from its list of nations that would now have their financial transactions more closely scrutinized. There are still 24 nations on the grey list.

The decision, according to a statement from Pakistan's foreign ministry, was "much-awaited good news."