India Attacks Pakistan's Finances, Urges FATF To ‘Do The Right Thing': Inside Details Of Letter

News18

17-06-2025

Last Updated:
Top government sources told News18 that India has once again written to the FATF to remind them to put Pakistan on the grey list during the next meeting
India is mounting pressure on global financial institution Financial Action Task Force (FATF) to ensure Pakistan's economic lifeline is cut off.
Top government sources told News18 that India has once again written to the FATF to remind it to do the 'right thing" by putting Pakistan on the grey list during the next meeting in autumn.
The FATF lists countries according to their track records on clean money. So money laundering, for example, would put a country on the grey list, which is the equivalent of a poor CIBIL score.
Sources say the letter lists all instances of past acts of terror which emanated from Pakistan, including the April 22 Pahalgam terror attack.
Another point highlighted was the more than 20% recent increase in Pakistan's defence budget. The development happened at a time when the International Monetary Fund (IMF) issued a payout for Pakistan. This suggests the money was not used for the welfare and development of people.
Government sources say that the last point could be the clincher to prevail upon global institutions to ensure Pakistan gets no reprieve. In fact, there is some indication of good news.
In a press release, the FATF said, 'The FATF reaffirms its support to over 200 jurisdictions within its Global Network to build and enhance their counter-financing of terrorism (CFT) measures…The FATF expresses grave concern and condemns the brutal terrorist attack in Pahalgam, Jammu & Kashmir, India, on 22 April 2025."
This marks the third time the FATF has explicitly condemned a major terrorist attack, following previous condemnations in 2015 and 2019. The Pahalgam attack, which tragically claimed the lives of 26 tourists, targeted innocents in a horrifying manner – they were killed at point-blank range in front of their families after being forced to confirm their religion.
The FATF has enhanced its focus on the effectiveness of measures countries have put in place. That is how FATF has identified gaps that need to be addressed. The FATF has developed guidance on terrorist financing risk to support experts that contribute to evaluations of the 200+ jurisdictions in the Global Network.
The FATF will soon release a comprehensive analysis of terrorist financing, compiling cases provided by the Global Network.
As emphasised by FATF President Elisa de Anda Madrazo recently, 'No single company, authority, or country can combat this challenge alone. We must be unified against the scourge of global terrorism. Because terrorists need to succeed only once to achieve their goal, while we have to succeed every time to prevent it."
Top government sources say that it is rare for the FATF to issue condemnation of terror acts. With the move and the letter, India is hoping for stern action against Pakistan.
First Published:
June 17, 2025, 07:00 IST