Why is it important to include Russia in the Fatf Black List
Given the growth of threats to the financial system by Russia, this meeting is of great importance in shaping global efforts to protect the integrity of the international financial system. FATF is an international organization of counteraction to laundering dirty money and the financing of terrorism. In the last year, we have observed how Fatf gradually introduces new restrictions on Russia to reduce its role and influence in the organization. However, it is time to strike a decisive blow.
In the world, Russia has long been associated with widespread money laundering activities. Weak legal framework and improper response mechanisms provide a favorable environment for illegal financial flows. The reports repeatedly covered the participation of Russian structures in complex schemes for money laundering.
But today, the financial system is overflowing with illegal monetary flows of Russian descent more than ever, since the Kremlin needs resources for its criminal activity-the financing of terrorism, the purchase of weapons and components thereto bypassing all imposed sanction restrictions and export control measures.
That is why we are convinced that the exclusion of Russia from FATF and its entry into the "black list" will not only protect the global financial system from the risks created by Russia, but also significantly strengthen the sanction regime of "coalition".
This step will complicate Russia's attempts to buy high -tech components for the production of weapons with the involvement of intermediaries for Russian companies, as it will require financial institutions to use increased protocols of control over operations that may be in contact with Russia. All legal arguments and evidence confirming Russia's participation in terrorism financing are set out in an extremely professionally formed statement of Ukraine to FATF.
In addition, all good reasons why Russia should be included in the FATF "black list", have been repeatedly covered by many reputable experts, analytical centers and investigators. Now I want to emphasize global challenges that I am sure Fatf can't help you pay attention. Today, the world is watching the creation of a partnership between Russia and Iran, which gives rise to a dangerous strategic union.
We have witnessed significant progress in relations between the two states, conditioned by common interests and the desire to overcome economic challenges caused by international sanctions. Over the past year, Iran has become a major military ally of Russia, serving ammunition and Kamikadze drones, which are constantly used to attack Ukrainian civilian facilities, as well as assisting in the production of such UAVs in Russia.
We are witnessing how to strengthen the partnership between Russia and Iran go beyond close cooperation in the military sphere and covers the strengthening of economic ties, cooperation in the energy sphere, and equally important - in the financial sector.
Regular visits of Russian emissaries, delegation of high-ranking officials headed by Elvira Nabiullin, opening a representation of the VTB Bank in Iran, numerous trade and economic projects, cooperation in the field of banking infrastructure are some of the most prominent features of the strategic alliance of Russia and Iran.
The deepening of financial ties between the two countries has significant consequences for the safety of the world financial system, as this opens the way to illegal financial flows from the country listed in the Fatf "Black List". Today, Russia recognizes the unconditional evidence of its inconsistency with FATF standards and the real chance of getting to the Fatf "black list", so it resorts to blackmail and political pressure. Such an aggressor behavior is not a surprise to us.
Recognizing that her crimes are grounds for inclusion in the "black list", Moscow makes tremendous efforts to force Member States not to take such a step. FATF members should not be pressured. Increasing Russia's economic and political influence poses a serious threat to the values that FATF is so cherished: trust, cooperation and collective devotion to the fight against financial crimes.
This behavior destroys the system confidence and creates a dangerous precedent that threatens international cooperation on the fight against income laundering, terrorism financing and the spread of mass destruction weapons. And this is another proof that "Blackage" of Russia is now of particular importance in the context of the country's compliance assessment by FATF standards.
Today, the protection of the global financial system should be the unity, cooperation, the collective commitment of FATF member states and their decisive response of Russia. That is why it was important to talk to the head of the India Reserve Bank-a FATF member country, which is currently presiding in G20.
As the NBU Chairman I personally asked to support the submission of Ukraine to the heads of the Central Bank of the Pro -Ukrainian Coalition, which are influential members of FATF - the United Kingdom, France, Italy, the Netherlands, Belgium, Sweden. Their authority and strong position in FATF will today be a guarantee of security for world financial architecture in the future.