India to Assume Vice-Presidency of FATF for the First Time

#GS-2 #Current Events #National #International #Economy #Banking

Why in News

India will take over the Vice-Presidency of the Financial Action Task Force for the very first time in history.
Vivek Aggarwal who serves as the Secretary, Ministry of Culture will hold this important position.
His term as the Vice-President will last from July 2026 to June 2027.

The Vice-President works closely with the President to guide the organization and fulfill its mission.
The FATF Presidency term lasts for a total duration of two years.
This appointment is a major milestone that shows global trust in India and its fight against dirty money and terror funds.
This new responsibility also increases the chances of India leading as the FATF President in future years.

The Financial Action Task Force was created in the year 1989 during the G-7 summit in Paris to protect world finances.
The group started with a focus on stopping money laundering, but added terrorist financing in 2001 and stopping Weapons of Mass Destruction proliferation in 2012.
The organization currently has 40 members and works with over 200 jurisdictions across the globe.
The FATF Plenary gathers three times a year to check if countries are following safety rules.
Countries that break rules can be put on the grey list or the black list for strict watch.
India joined as an Observer in 2006 and became a full 34th member in June 2010.
India follows these global rules using strict laws like the Prevention of Money Laundering Act 2002 and the Unlawful Activities (Prevention) Act 1967.