ISLAMABAD, Nov 9: The federal government is examining the possibility of introducing anti-money laundering laws to plug the informal market.

A task force, headed by the Additional Secretary, Ministry of Finance, Dr Waqar Hasan Khan, has started working out possibilities of proposing the introduction of anti-money laundering laws.

“We need to remove various flaws in our financial system and that is why we are examining to have new legislation against money laundering”, He said.

Dr Khan, who is also the spokesman for the ministry of finance, told Dawn here on Thursday that, in view of worldwide circumstances, informal money markets could no more be allowed to function.

He said documentation was being done through the banking system. He denied that anti-money laundering laws were being considered on the pressure of the United States.

Dr Khan said there had been over 16 per cent increase in remittances due to better performance of Pakistan banks working abroad. “Hawala and Hundi systems are fast becoming unpopular, specially after the appreciation of Pak rupee.’’