G7 Ministers Warn About Iran's 'Illicit Financial Activities'

The Group of Seven (G7) Finance Ministers and Central Banks' Governors warned about the risks posed by Iran in illicit financial activities.

The officials held a meeting in the Japanese city of Niigata on Saturday and issued a statement on pressing global economic and security issues.

"We are deeply concerned with illicit financing risk emanating from Iran," the Group stressed in their joint statement and pledged full support for the international watchdog, the Financial Action Task Force, FATF for monitoring global compliance.

FATF is a Paris-based inter-state organization following the observance of international financial rules against money laundering and financing of terrorism.

Iran and North Korea are both on FATF ‘blacklist’ for not adhering to several international financial conventions. The designation virtually cuts off the violators from the international banking system.

Iran has failed to pass legislation to comply with FATF demands and is recognized as a high-risk country for financial transactions and investments.

The Iranian regime wants to have a free hand in financing militant groups around the world, which would violate FATF’s anti-terror financing rules.

The Iranian banking system controlled by the government is opaque and mired in debt and corruption.

Even if the United States lifts its economic sanctions, Iran would still be considered a high-risk country if it does not comply with international financial rules.

The G7 officials meeting in Japan also strongly warned about North Korea and its “illicit activities” related to “Proliferation of weapons of mass destruction.”