FATF Statement
26 June 2009
IRANThe FATF remains concerned by Iran’s failure to meaningfully address the ongoingand substantial deficiencies in its anti-money laundering and combating the financingof terrorism (AML/CFT) regime. The FATF remains particularly concerned about Iran’s
failure to address the risk of terrorist financing and the serious threat this poses to theintegrity of the international financial system. The FATF urges Iran to immediately andmeaningfully address its AML/CFT deficiencies, in particular by criminalising terrorist
financing and effectively implementing suspicious transaction reporting (STR)
requirements.
The FATF reaffirms its call on members and urges all jurisdictions to advise theirfinancial institutions to give special attention to business relationships andtransactions with Iran, including Iranian companies and financial institutions. In
addition to enhanced scrutiny, the FATF reaffirms its 25 February 2009 call on its
members and urges all jurisdictions to apply effective counter-measures to protect
their financial sectors from money laundering and financing of terrorism (ML/FT) risksemanating from Iran.

FATF continues to urge jurisdictions to protect against

correspondent relationships being used to bypass or evade counter-measures andrisk mitigation practices, and to take into account ML/FT risks when considering
requests by Iranian financial institutions to open branches and subsidiaries in theirjurisdiction.
The FATF remains prepared to engage directly in assisting Iran to address its AML/CFT
deficiencies, including through the FATF Secretariat.

UZBEKISTANThe FATF welcomes the significant recent steps that Uzbekistan has taken to restoreand strengthen its AML/CFT regime and takes note of the action plan for further steps
that it has articulated. FATF urges Uzbekistan to continue its progress towards
completing its legislative framework and implementing an AML/CFT regime thatmeets international standards. Given that implementing regulations are not yet
enacted, the FATF reiterates its statement of 16 October 2008.

TURKMENISTAN
The

FATF

welcomes

Turkmenistan’s

recentprogress

inadopting

AML/CFTlegislation. Given that deficiencies remain in Turkmenistan’s AML/CFT regime, FATF
reiterates its 25 February 2009 statement informing financial institutions that thesedeficiencies constitute an ML/FT vulnerability in the international financial system andthat they should take appropriate measures to address this risk. Turkmenistan isurged to continue to take steps to implement an AML/CFT regime that meets
international AML/CFT standards. Turkmenistan is strongly encouraged to continue
to work closely with the Eurasian Group and the International Monetary Fund toachieve this.
PAKISTAN
The FATF welcomes Pakistan’s recent accession to the International Convention forthe Suppression of the Financing of Terrorism.

However, the FATF remains

concerned about the ML/FT risks posed by Pakistan and reaffirms its public statementof 28 February 2008 regarding these risks.

The FATF welcomes the process

underway in Pakistan to improve its AML/CFT regime. The FATF encourages Pakistan
to continue to fully co-operate with the World Bank and the Asia Pacific Group on
Money Laundering (APG) on its mutual evaluation process.

SÃO TOMÉ AND PRÍNCIPEThe FATF welcomes São Tomé and Príncipe’s continuing efforts to implement its AMLlaw. The FATF remains concerned about the significant deficiencies in São Tomé andPríncipe’s AML/CFT regime, particularly relating to terrorist financing. The FATFurges São Tomé and Príncipe to work with the Inter Governmental Action Groupagainst Money Laundering in West Africa (GIABA) to address the remaining AML/CFTdeficiencies.