India will ask the Financial Action Task Force (FATF) to place Pakistan back on its grey list during the watchdog's meeting in October, according to The Times of India. New Delhi believes Pakistan continues to support terrorism despite its removal from the list in 2022. India plans to present fresh evidence to strengthen its case.
India to Submit Fresh Evidence
According to the report, India will submit new evidence, including videos, to show that Pakistan continues to support terrorism. The report did not reveal the exact nature of the evidence. However, it said some of the material may have come from investigations conducted after Operation Sindoor.
The report also noted that senior Pakistani military officers have frequently attended the funerals of terrorists. India sees this as evidence of close ties between terrorist groups and Pakistan's military establishment.
Pakistan Was Removed From the Grey List in 2022
The FATF removed Pakistan from its grey list in October 2022. Pakistan convinced the watchdog that it had completed a 34-point action plan. The country introduced legal reforms and strengthened its systems to fight money laundering and terrorist financing.
The action plan included legislative changes and operational reforms.
India Says Pakistan Still Supports Terrorism
India argues that Pakistan has failed to end its support for terrorist groups, especially those targeting India. New Delhi says Pakistan continues to provide support despite its commitments to the FATF.
India hopes the new evidence will persuade the watchdog to place Pakistan under increased monitoring once again.
Pahalgam Attack Adds Weight to India's Case
India's move follows the deadly terrorist attack in Pahalgam, Jammu and Kashmir, in April last year. Pakistan-backed terrorists killed 26 people in the attack. It became one of the deadliest attacks on civilians in the region in recent years.
Indian officials believe the attack further proves that Pakistan continues to support cross-border terrorism.
India Takes on Bigger FATF Role
The latest development comes shortly after Indian official Vivek Agarwal became the Vice-President of the FATF. His appointment gives India a stronger voice in the international watchdog as it pushes for stricter action against terror financing.
What Is the FATF Grey List?
The FATF maintains two monitoring lists. The grey list includes countries under increased monitoring because of weaknesses in tackling money laundering, terrorist financing and proliferation financing.
The black list includes countries considered high-risk jurisdictions that face stronger international action.
What Does Grey Listing Mean?
Countries placed on the grey list agree to fix strategic weaknesses within a set timeline. The FATF closely monitors their progress until they complete the required reforms.
Grey-listed countries often struggle to attract foreign investment. They may also face difficulties in accessing international finance and borrowing from global financial institutions. India will now try to convince the FATF that Pakistan has failed to meet its commitments and should once again face increased international scrutiny.