Top economies ease penalties on Iran over money laundering

The world's major economies have suspended anti-money laundering measures against Iran for a year despite concerns that the Islamic Republic uses its financial sector to protect criminal enterprises and fund terrorist activity.

The announcement is another sign of progress in Tehran's campaign to return to the global economy after last year's nuclear accord.

At a meeting in South Korea, the United States and the 36 other members of the Financial Action Task Force welcomed Iran's commitment to address shortcomings in how it tackles money laundering and fights terrorism financing. The Iranians also are seeking technical assistance in their efforts.

To protect the international financial system, task force members are supposed to apply countermeasures against any country on the organization's blacklist.