FATF warns about possible risks for business in Ukraine

The International organisation for monitoring financial operations /FATF/ has accused Ukraine of its incapability to take adequate measures to suppress money laundering. The FATF statement issued on Friday notes that the Ukrainian government has still failed to take "sufficiently tough steps" towards combating money laundering.

Accordingly, the statement reads that it has been decided to toughen control over financial transactions with Ukrainian banks. Moreover, the FATF member-states have been warned about possible risks for doing business in Ukraine.

The FATF embraces 30 countries including Russia.

Meanwhile, in late November the Ukrainian parliament passed a law on preventing and counteracting legalization /laundering/ of money, acquired in a criminal way.

Since this September Verkhovna Rada had twice postponed the vote on this draft law.

Experts believe that they had to speed up the procedure because the International organisation for monitoring financial operations had included Ukraine in the black list consisting of 15 countries, not sufficiently cooperating with the FATF in terms of suppression of money laundering.