Supported by long-time ally China, Pakistan is confident it will stop funding terrorism by a global watchdog on Friday, but it will not be completely off the hook, until it proves that it is Islamic terrorists. , Severely severing ties with executives and analysts.
The Financial Action Task Force (FATF) placed Pakistan on a gray list of countries with insufficient control over the financing of terrorism last year. The group, which will hold a five-day meeting, will decide on Friday whether to maintain it or be blacklisted with Iran or North Korea.
If blacklisted, Islamabad faces financial consequences and economic failures at a time when its economy is facing a payment crisis.
“The main challenge for Pakistan is to convince the FATF that it is taking complete and irreversible steps against terrorist financing,” said Michael Kugelman, deputy director of the Asia Program, Wilson Center thinktank.
Pakistan, which blames arch-rivals India for blacklisting it, is relying on support from friendly countries such as China, Turkey and Malaysia.
Three votes are mandatory for any country to avoid blacklisting. Two top government officials and a security personnel told Reuters that in a recent visit to Beijing, Pakistan’s civilian and military leadership had taken guarantees from Chinese leaders that Islamabad would not be blacklisted. China is presiding over the ongoing FATF plenary in France.
“God willing, we are trying to get out of this gray-list as soon as possible, and I think you should believe that a comprehensive effort is being made,” Finance Head Abdul Hafeez Sheikh told a news The said weekend at the conference.
If Pakistan postpones blacklisting, it would be a temporary reprieve until the FATF meets again in February 2020.