Türkiye nears FATF grey list exit as finance chief Simsek heads to Singapore
At the end of this month, Treasury and Finance Minister Mehmet Simsek will travel to Singapore to attend a meeting of the Financial Action Task Force (FATF), an international organization that evaluates countries’ efforts against financial crimes.
His participation at the FATF meeting on June 28 in Singapore is anticipated to pave the way for Türkiye’s removal from the FATF grey list, which was placed in October 2021.
Simsek’s reforms boost Türkiye’s ratings
Türkiye was added to the grey list in 2021 because of its inadequate measures against money laundering and terrorism financing.
Since Minister Simsek took office, significant strides have been made to address these issues, garnering positive reactions in international markets. Major credit rating agencies have raised Türkiye’s credit rating, and attention has now shifted to the FATF’s upcoming decision.
Anticipated FATF decision
It is anticipated that during this FATF meeting, Türkiye will be removed from the grey list. In February, Minister Simsek announced that technical preparations to achieve this goal had been completed.
The on-site inspection in June will finalize the process for removing Türkiye from the grey list.
Treasury and Finance Minister Mehmet Simsek
Bloomberg reports
At the end of May, Bloomberg indicated that significant progress had been made in preventing illegal money flows in Türkiye. It is also reported that Türkiye could be removed from the grey list on June 28.
What does FATF grey list mean?
The FATF, established in 1989 by the OECD, aims to combat money laundering, terrorism financing and the funding of weapons of mass destruction. Over 200 countries have committed to adhering to its recommendations. Türkiye became a member in 1991.
Consequently, the Financial Crimes Investigation Board (MASAK) was established under the Ministry of Finance in 1997 to collect data, receive and analyze suspicious transaction reports, and conduct detailed investigations when necessary.
