Condemning the brutal Pahalgam terror attack in April, global watchdog FATF on Monday said it has enhanced its focus on the effectiveness of measures countries have put in place to combat terror financing.
“Terrorist attacks kill, maim and inspire fear around the world. The FATF notes with grave concern and condemns the brutal terrorist attack in Pahalgam on 22 April 2025. This, and other recent attacks, could not occur without money and the means to move funds between terrorist supporters,” the Financial Action Task Force (FATF) said in a statement.
The FATF statement comes in the backdrop of Indian authorities highlighting Pakistan’s persistent support for terrorism and its funnelling of multilateral funds for arms procurement.
According to sources, such action by Pakistan warrants that the country be put in the “grey list” of the FATF.
On April 22, Pakistan-trained terrorists killed 26 people in Pahalgam, Kashmir.
India has consistently held that Pakistan has given safe haven to designated terrorists and the same was evident when senior military officials were present at the funeral of the terrorists killed in Indian military attacks of May 7.
Ahead of the next meeting of the Asia Pacific Group (APG) of FATF on August 25 and the next FATF plenary and working group meeting on October 20, India is preparing a dossier on the omissions and commissions by Pakistan with respect to FATF anti-money laundering and terror financing norms.
India will be submitting to the FATF for grey listing of Pakistan.
Currently, there are 24 countries in FATF ‘grey list’. These countries are under increased monitoring and they have to address strategic deficiencies to counter money laundering, terrorist financing, and proliferation financing.
Pakistan’s history with FATF’s ‘grey list’ dates back to February 2008, when it was placed in the monitoring list. In June 2010 it was removed from the list, only to be brought back in February 2012, and then removed again in February 2015.
