Iran May Accept Global Financial Conventions, Say Politicians
A prominent politician in Tehran has suggested that President Ebrahim Raisi may seek another review of four bills allowing Iran to join the FATF conventions.
A prominent politician in Tehran has suggested that President Ebrahim Raisi may seek another review of four bills allowing Iran to join the FATF conventions.
The FATF (The Financial Action Task Force) is a G-7 initiative to combat money laundering and financing terrorism. The four bills stuck in Iran's legislative system since 2017 due to opposition by hardliners include measures to join the convention against organized crime, to amend “the anti-money laundering law,” to accept the convention against financial support for terrorism” and a “bill to amend the law against financial support for terrorism.”
The former head of the Iranian parliament's national Security and Foreign Relations Committee Heshmatollah Falahatpisheh also told Etemad Online that "if it is true that Raisi has now asked Supreme Leader Ali Khamenei to order the Expediency Council to start another review of the FATF bills, then we should be sorry for the country's national interests as Raisi was one of the opponents of the bills."
The bills were handed over to the Expediency Council, a group of former officials trusted by Khamenei, for review after it changed hands between the parliament (Majles) and the constitutional watchdog the Guardian Council without any progress.
In addition to the limitations imposed on Iran's international trade and banking due to US and other international sanctions, adherence to the FATF conventions is essential for international traders. It provides assurance that the funds used by Iran in transactions will not be funneled into money laundering, cross-border organized crime, or terrorism financing.
Hardliners, however, have been strictly opposing the bills saying openly that joining the conventions would bar Iran from sending money to groups such as Hamas, Islamic Jihad and Hezbollah, designated as terrorist groups by key countries.
Falahatpisheh charged that hardliners have been benefitting from illicit trade and financial transaction while Iran has been on the FATF blacklist. He added that Raisi strongly opposed the bills as an Expediency Council member and the head of Iran's Judiciary. He said that Raisi as President has now realized that joining the FATF and returning to the nuclear deal with the West are necessary to improve Iran's ailing economy.
Meanwhile, Expediency Council member Mohammad Sadr also acknowledged in an interview on Wednesday that "many of the opponents of the JCPOA and FATF have realized the significance and necessity of the nuclear agreement and the anti-money laundering conventions.
Sadr emphasized that without the FATF, Iran's existing economic challenges will remain unsolved, and the system is susceptible to encountering new issues.
Some politicians and many commentators and economists have been insisting that passing the bills are essential for conducting financial transactions with the world. Many had also pointed out that even if the sanctions are lifted, Iran will not be able to conduct international trade and banking without accepting the terms of the FATF.
Iran's radicals and hardliners are being blamed for the impasse in the country's economy, politics and foreign policy while almost everyone knows that all the decisions originate with Khamenei and dictated to the system. However, former Reformist politician Jalil Rahimi Jahanabadi has called for a powerful reformist minority at the Majles to counterbalance hardliners.
He said: "We need to harness and control the radicals. A powerful reformist minority can have a good impact on the Majles." It is interesting that the reformist figure is happy only if a minority comes from the reform camp rather than demanding to win the majority in parliament.
Raisi had called for debating the FATF and JCPOA before leaving for New York to take part in the UN General Assembly in September, however, the issue popped up again after the brutal Hamas attack on Israel last week. Iran finds itself in the crosshairs of international criticism for being the main supporter of Hamas. Khamenei was forced to say publicly that the regime played no direct role in the attack.
Foreign Minister Hossein Amir-Abdollahian said on Thursday that the continuation of Hamas-Israel war will prompt a response from "the rest of the axis of resistance." The ‘resistance' front or axis is the term coined by the Islamic Republic to describe its logistic, financial and intelligence support for the Syrian regime, the Lebanese militant group Hezbollah, and dozens of militia groups in the region, several of which were created by Iran.
"This is just the beginning,” Iranian lawmaker Kamal Alipour told Didban Iran website, adding that “if the Supreme Leader orders, we will also have military support for Hamas." Referring to the Iraq-Iran war in the 1980s, he said that “Iran stood against Iraqi leader Saddam Hussein for eight years, therefore war against Israel is nothing in comparison to that.”
Alipour added, "Iran has provided consultation and military training to Hamas forces. Basically, the philosophical underpinning of our Islamic Revolution is to assist the oppressed and downtrodden people of Palestine."
His remarks were echoed by another lawmaker, Shahriar Heydari, who emphasized that Iran has backed Hamas through military training and advisory support, claiming that due to the blockade of Gaza, “sending weapons from Iran is not possible but if such an opportunity were available, we would provide our utmost support... In terms of military training, we have been and will remain a source of assistance."
"We have trained the resistance forces and Hamas to use missile technology, but these technologies belong to the Palestinians and the fighters themselves," he claimed.
While the Islamic Republic is cheering about the war in Israel, Iranians’ reactions to the regime’s propaganda indicate a complex societal schism. Countless posts sympathetic to Israelis who have suffered the biggest loss of life in one day since the holocaust are promoting hashtags such as “Iranians Stand With Israel.”
Numerous social media posts are encouraging people loyal to the regime to travel to Israel and support Hamas in the battlefield, suggesting that this might be the most direct path to becoming revered "martyrs" in their revolutionary ideology.
Regime-sponsored rallies were also held on Friday across Iran in solidarity with the Hamas attack, praising the “miraculous and wonderful operation” that made “terror and fear engulf” Israel.
The Iranian foreign minister, in Beirut on a tour of Iraq, Lebanon and Syria, was received at the airport by top officials of Hamas, Islamic Jihad and Hezbollah. "Some Western officials have questioned if there is an intention to open a new front against the Zionist entity. Of course, in light of the continuation of these circumstances that are war crimes,” he said, referring to the displacement of Palestinians and cutting water and electricity to the Gaza Strip.
Western governments and media are questioning Iran’s role in the Hamas attack and its long-standing financial and military support for militant groups in the region. The Iranian foreign minister’s remarks push Tehran further to the forefront of the conflict.
Israel has been pounding Gaza in retaliation for the Hamas rampage in Israel this week that has killed well over 1,000 civilians, the deadliest attack on civilians in Israeli history. More than 1,500 Palestinians have been killed.