Implementing standards set by the Financial Action Task Force will not only help facilitate Iran's trade with other countries, but also contribute to national peace and security, a former diplomat says.
"FATF and its related bills are a means rather than an end," Ali Khorram also told ISNA in remarks published on Wednesday, in reference to the Paris-based inter-governmental organization that underpins regimes combating money laundering and terrorist financing.
On Oct. 7, lawmakers passed the last of four bills put forward by the government to meet demands outlined by the 37-nation group, which was set up by the G7 industrial powers in 1989.
The new measures aim to bring Iran's laws in line with international standards and allow it to join the UN Terrorism Financing Convention.
However, all the bills approved by parliament must pass through the Guardians Council—a clerical vetting body—before becoming law, as required by Iran's Constitution.
>Different Nature
Khorram, who is an international affairs analyst, maintains that it is not right to draw an analogy between the 2015 nuclear deal and FATF-related bills as the Joint Comprehensive Plan of Action over Iran's nuclear program is an "agreement" while the latter are just a "means" that will help ease the country's financial and banking transactions.
He said the convention in question and a number of similar treaties had been ratified by other nations before the conclusion of JCPOA when Iran was under international sanctions over its nuclear activities.
"After JCPOA was successfully sealed, Iranian banks moved to develop banking ties with other countries but were told that their country is not a member of several conventions adopted in prior years and, as Iran did not respond positively to calls to join these conventions, it was put on the blacklist along with North Korea," he said, referring to the fact that Iran is currently alone with North Korea on the FATF blacklist.
The expert added that compliance with FATF norms will help Iran transfer money, including its oil revenues, more easily without the headache of having to request and pay a third country to help complete the process.
"We need to have banking links with the European Central Bank through FATF," Khorram said.
>National Security
The former official also noted that joining the convention against the funding of terrorism can eventually help shield Iran from terrorist attacks as well.
"Some of the bills and conventions related to the campaign against terrorism were introduced following the Sept. 11 terrorist attacks on US soil in 2001 with the aim of preventing governments from funding terrorists," he said.
According to the FATF website, the organization was originally tasked with devising policies to combat money laundering, but its mandate was expanded to include terrorist financing in 2001.
"If Daesh [the self-styled Islamic State terrorist group] has access to money and oil, and can have financial and international transactions, will it not carry out terrorist attacks in our country?" Khorram asked.
"Accession to such international conventions is one of the ways to protect our country."
Khorram added that the Iranian nation should not pay the price for the opposition to international standards by those who are seeking to advance their own political agenda or do not have a proper understanding of the facts.
"There is no agreement or convention in the world that is 100% in our favor or in favor of the United States or other countries. The international community is based on the philosophy that all countries should compromise part of their interests to benefit from common interests," he concluded.
