How CFT Accession Can Benefit Iran

Iran's accession to CFT cannot solve the country's problems regarding the oil and banking sanctions, but it can facilitate the implementation of Iran’s nuclear deal, says an expert.

Combating the Financing of Terrorism (CFT) Act, one of four acts put forward by the government to meet Financial Action Task Force (FATF) demands, was passed on Sunday by 143 votes to 120.

During the parliament debate, Foreign Minister Mohammad Javad Zarif said: "Neither I nor the President can guarantee that all problems will go away if we join the CFT convention."

"But I guarantee that not joining will provide the US with more excuses to increase our problems," Zarif added.

What are the benefits of CFT accession?

"The nature of this bill is for transparency. This means that Iran's banking and trade transactions will be transparent. The institution (FATF) can see the recipient, place and amount of money that Iran is dealing with," Albert Boghzian, a Tehran University lecturer, said.

"The accession is one the necessities for international transactions and the country that joins this convention shows its good faith to fight against terrorism and money laundering. If a country refrains from being a member, there might be speculations that it is doing something illegal," he said.

“Some people in Iran are worried that joining the convention means the recipients of Iran's aid will now be known,” Boghzian said.

Explaining the impact of CFT accession on preventing further problems which might be created by the US, Boghzian said: "Certainly, joining this convention will not solve issues relating to oil and banking sanctions, but it can prove that Iran's claims of fighting terrorism are correct."

"It can also facilitate the implementation of the JCPOA and relating issues," he said using the formal name of the 2015 Iran nuclear deal - the Joint Comprehensive Plan of Action (JCPOA).

Source: Persia Digest