ISLAMABAD:
India’s efforts to push Pakistan back onto the Financial Action Task Force (FATF) grey list have once again failed, as the money laundering watchdog opted instead to keep the country under a “reporting” mechanism rather than downgrading its status, informed sources have revealed.
Pakistan was placed on the FATF’s increased monitoring list (also known as the grey list) in 2018 due to concerns about its anti-money laundering (AML) and counter-terrorism financing (CFT) frameworks. However, in October 2022, the country was removed from the grey list following significant improvements and the completion of action items related to AML/CFT.
During the latest FATF meeting, the Indian delegation actively lobbied to reinsert Pakistan into the grey list. However, China supported Pakistan, advocating for relief, while Turkey and Japan also extended their full backing.
Sources said FATF opted instead to keep the country under a “reporting” mechanism rather than downgrading its status.
They further indicated that India, with backing from Israel, sought to use the FATF platform to pressure Pakistan. However, member states dismissed New Delhi’s attempts as negative propaganda, choosing instead to recognise Islamabad’s progress.
Following Operation Bunyamum Marsoos, Indian diplomatic missions had intensified campaigns against Pakistan in various countries but New Delhi’s narrative failed to gain traction internationally.
Meanwhile, Federal Finance Minister Muhammad Aurangzeb remarked that India has once again faced diplomatic failure on the global stage. He said the World Bank has approved a loan for the development of the Reko Diq mining project in Pakistan.
The FATF is the global money laundering and terrorist financing watchdog. It sets international standards that aim to prevent these illegal activities and the harm they cause to society.
