Why it matters:
The move marks a significant step in aligning Iran’s financial transparency regulations and their implications for national economic sovereignty amid Western sanctions.
The big picture:
Iran's Expediency Council approved conditional accession to the CFT earlier this month. The CFT is one of four key components linked to the Financial Action Task Force (FATF), a framework designed to counter money laundering and terrorist financing worldwide.
Key points:
- The official notification letter was sent to the President on Saturday, over two weeks after the Expediency Council’s approval.
- Iran’s Parliament had previously ratified the bill, which was later revised and conditionally approved by the Expediency Council.
- The CFT focuses on detecting, deterring, and preventing financial flows linked to terrorism.
- Out of 42 FATF-related provisions, 40 have already been implemented in Iran in prior years.
- The law’s enforcement now awaits executive implementation under the President’s authority.
Between the lines:
Iran’s cautious engagement with FATF mechanisms seeks to balance international financial cooperation with preserving its independent economic policies. The conditional approval reflects Tehran’s insistence on excluding politically motivated interpretations of “terrorism” used by Western powers.
Go deeper:
With the Expediency Council’s conditional approval and Qalibaf’s formal notification, Iran has taken another measured step toward FATF alignment, signaling a pragmatic yet guarded approach to global financial standards.
President Pezeshkian Advocates for Implementing FATF Rules in Iran
Hossein Vaez - Mojtaba Darabi
