By Tassilo Hummel, Tom Balmforth and Maria Martinez
PARIS (Reuters) – Ukraine’s bid to have Russia added to an international list of countries with weak money laundering compliance has failed again after the move was rejected by countries including China, India, Saudi Arabia and South Africa, three sources with knowledge of the matter told Reuters.
Two sources with knowledge of the discussions that were held this week at international financial crime watchdog FATF in Paris said Brazil was also among the group that rejected the proposal. One source said Ukraine’s proposal to shut out Russia had been postponed to gather more evidence.
The FATF, whose members states include Britain, France, Germany, the United States and other major economies, declined to comment, saying it was due to update what it calls its “grey” and “blacklisted” nations after the end of its plenary discussions on Friday.
The Ukrainian government has argued that Russia, which faces various sanctions from Western governments in response to its 2022 invasion of Ukraine, poses a threat to the international financial system, citing its close links to other “blacklist” countries Iran and North Korea among other arguments.
The FATF last year suspended Russia’s membership, saying Moscow’s war in Ukraine violated the organisation’s principles.
(Reporting by Tom Balmforth, Maria Martinez and Tassilo Hummel; Edited by Gabriel Stargardter and Hugh Lawson)
