“The measure is both an important political statement as well as a recognition of the threats to the global financial system posed by Russia. The FATF identified Russia’s involvement in the arms trade and malicious cyber-activities, as well as evasion activities,” Alex Zerden, the principal of financial technology and risk advisory firm Capitol Peak Strategies LLC, said.
The suspension of Russia comes after a campaign by the Ukrainian Minister of Finance Serhiy Marchenko for FATF to add Russia to what is informally known as the FATF blacklist, saying Russia hasn’t been complying with the organization’s standards. The FATF blacklist, a list of countries where the group deems businesses and financial institutions are at high risk of exposure to money laundering and terrorist financing, currently includes three countries: North Korea, Iran and Myanmar.
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