Pakistan: Exports to EU will face less scrutiny
The European Union has approved the removal of Pakistan from its list of “high risk third countries” that pose a significant threat to its financial system, according to the Asian country’s Ministry of Commerce.
The list marks the countries that the EU considers to have strategic deficiencies in their structures to combat money laundering and terrorist financing. Pakistan was added to the list in October 2018, creating obstacles in legal and financial transactions with individuals and entities in Pakistan, the ministry said.
The exclusion of Pakistan means that companies and individuals will not be subjected to customer due diligence by the bloc’s authorities, the ministry said on Wednesday. Businesses include credit institutions, financial institutions, auditors, external accountants, tax advisers, notaries, independent legal professionals, real estate agents and individuals who deal in property, according to Pakistani news publication Dawn.
According to the ministry, the measure is likely to ease the cost of legal and financial transactions with the bloc and increase Pakistani exports. Trade Minister Syed Naveed Qamar took to Twitter to announce the same.
Meanwhile, Federal Minister for Climate Change Sherry Rehman credited Foreign Minister Bilawal Bhutto Zardari with the achievement.
“The good news in the current scenario is that the European Union has removed Pakistan from the list of high risk countries. After this important development, exporters and traders will not face obstacles. Credit for this diplomatic success goes to Foreign Minister Bilawal Bhutto Zardari, she said.
The UK removed Pakistan from its peer list in November 2022, citing “significant progress” in improving its anti-money laundering/combating terrorist financing (AML/CFT) regime.
Source: DW
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