India’s attempt to return Pakistan to the FATF grey list failed after strong opposition from key member states. During the FATF plenary in Paris, India lobbied hard to re-list Pakistan over alleged shortcomings in financial oversight. However, its effort met stiff resistance from several countries, led by China.
China, Turkiye, and Japan Back Pakistan
Diplomatic sources revealed that China defended Pakistan’s progress, emphasizing its commitment to global financial regulations. Turkiye and Japan also threw their weight behind Pakistan, effectively derailing India’s campaign.
India accused Pakistan of failing to meet FATF conditions related to terror financing. However, member countries viewed Pakistan’s compliance record as sufficient. These endorsements blocked India’s bid and spared Pakistan from increased international scrutiny.
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Tensions Fuel Diplomatic Moves
The FATF episode comes amid worsening relations between the two nuclear neighbors. Tensions escalated after the killing of 26 tourists in Pahalgam, in Indian Illegally Occupied Jammu and Kashmir. India blamed Islamabad, but Pakistan denied the accusation and offered a transparent investigation.
Islamabad pointed to Indian-backed terrorism within its borders, including support for groups like TTP and BLA. It also launched a massive military response under “Operation Bunyan-um-Marsoos,” striking Indian installations and downing six IAF jets, including Rafales. A ceasefire was announced after 87 hours, mediated by U.S. President Donald Trump.
Pakistan’s Global Standing Improves
Pakistan was removed from the FATF grey list in October 2022 after years of reform. Its international credibility has since grown. In June 2024, Pakistan replaced Japan on the UN Security Council and continues to play a significant role in UN peacekeeping efforts.
Despite regional tensions, Pakistan’s diplomatic efforts have yielded results. The country highlighted its long-standing struggle with terrorism, having lost over 80,000 lives in the past two decades. It also continues to urge the world to recognize and counter Indian-sponsored violence in the region.
With international backing and active participation in global peacekeeping, Pakistan remains committed to transparency and compliance with global standards.
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