India has faced a diplomatic setback in its recent attempt to push Pakistan back onto the Financial Action Task Force (FATF) grey list.
According to informed sources, India made a strong diplomatic effort during the latest FATF meeting to have Pakistan re-listed, but the attempt failed due to strong opposition from key member states.
China took a firm stance in favor of Pakistan, playing a pivotal role in blocking the move. Additionally, Turkey and Japan also extended full support to Pakistan, reinforcing the growing backing Islamabad enjoys within the FATF circle.
Pakistan was previously placed on the FATF grey list in 2018 due to concerns over money laundering and terror financing, but was officially removed in October 2022 after significant compliance measures.
The Financial Action Task Force, a global watchdog headquartered in Paris, consists of 37 members, including major powers like the United States, United Kingdom, China, India, as well as regional blocs like the Gulf Cooperation Council and the European Commission.
The FATF’s core mandate is to prevent and combat global money laundering and terrorism financing, ensuring financial systems are not misused for illicit purposes.
India’s failed attempt reflects the complex geopolitical dynamics within the FATF and highlights the strategic alliances that influence its decisions.
