FATF snub to India

In yet another attempt to malign Pakistan on the global stage, India lobbied aggressively to have the country reinserted into the FATF grey list. But much to New Delhi's frustration, the move not failed badly. FATF member states refused to entertain India's politicisation of a technical forum, and instead acknowledged Pakistan's sustained progress on countering money laundering and terrorist financing.

Following the Operation Bunyad Marsoos, Indian missions ramped up a campaign to build a narrative of Pakistan's alleged involvement in terror-related activities. But as has been the case too often in the past, facts did not align with India's rhetoric. During the latest FATF plenary, sources confirm that India - reportedly backed by Israel - attempted to pressure the forum to drag Pakistan back on the grey list. However, the effort was swiftly neutralised by key international players. China firmly backed Pakistan, while Turkiye and Japan extended unequivocal support, recognising the political undertones of India's push. The diplomatic tables were turned and India's isolation in the room was evident as FATF decided to keep Pakistan under a standard reporting mechanism, sending a clear message that propaganda has no place in policy. Pakistan, after being removed from the grey list in October 2022, has maintained a consistent trajectory on anti-money laundering and counter-terror financing compliance. Adding to New Delhi's embarrassment, the World Bank recently approved a major loan for Pakistan's Reko Diq mining project - a sign of growing international confidence in Pakistan's economic stability and governance reforms.

For Pakistan, this is more than just a diplomatic win. It is a vindication of efforts to rebuild international credibility and a signal that the world is no longer willing to entertain India's narrative without scrutiny. Multilateral institutions must remain immune to bilateral grudges. FATF's refusal to bow to political pressure is a welcome reminder of that principle.