India has been placed in the ‘regular follow up category’ in the “Mutual Evaluation Report of India” by Financial Action Task Force (FATF). The report was adopted in the FATF plenary held from the 26th to 28th June in Singapore. The Finance Ministry said that it is a distinction shared by only four other G20 countries. The FATF has recognised the efforts made by India in mitigating the risks arising from money laundering and terrorist financing, in transitioning from a cash-based to a digital economy and in implementation of the JAM-Jan Dhan, Aadhaar, Mobile- trinity. The Ministry said that India’s performance on the FATF Mutual Evaluation accrues significant advantages to its growing economy as it demonstrates the overall stability and integrity of the financial system. It further stated that good ratings will lead to better access to global financial markets and increase investor confidence. It will also help in the global expansion of the Unified Payments Interface. The Ministry further said that this significant milestone underscores India’s commitment to international standards and its proactive stance in the global fight against financial crimes.

The Financial Action Task Force is an intergovernmental organisation established in 1989 as the international watchdog to combat money laundering, terrorist financing, and other related threats to the integrity of the international financial system. India became a member of FATF in 2010.