New Delhi: India will make a strong case with FATF to revert Pakistan to its “grey list” for failure to comply with anti-money laundering and terror financing rules, a government source said.
“We will be taking it up (with the FATF),” the source said when asked whether India will make a case with Financial Action Task Force (FATF) to place Pakistan in the grey list.
Tensions between India and Pakistan have heightened following the terror attack in Pahalgam on April 22, which killed 26 civilians.
India feels that Pakistan has failed to act on terror emanating from its territory and has been diverting funds from multilateral agencies to buy arms and ammunition.
Countries which fail to address strategic deficiencies in their regimes to counter money laundering, terrorist financing, and proliferation financing, and are under increased monitoring, are placed in the grey list of FATF.
When FATF places a jurisdiction under increased monitoring, it means the country has committed to resolving swiftly the identified strategic deficiencies within agreed timeframes and is subject to increased monitoring.
The FATF plenary, a decision-making body, meets thrice a year — in February, June and October.
In 2018, Pakistan was placed in the FATF’s grey list and had given an action plan for the country to curb money laundering and terror financing. Following that, in 2022, FATF removed Pakistan from the list.
India had earlier this month opposed release of the tranche of the IMF’s bailout package to Pakistan.
PTI
