India Pressures FATF to Re-Grey List Pakistan Over Persistent Terror Links

India is gearing up to pressure the Financial Action Task Force (FATF) to place Pakistan back on its 'Grey List' this October, citing fresh evidence of internationally designated terrorists openly operating within Pakistan. This aggressive diplomatic push comes after recent terror attacks, notably the April 2025 Pahalgam attack in Jammu & Kashmir, which New Delhi attributes to Pakistan-based militant groups. India argues that Pakistan has failed to deliver on its assurances to curb terror financing, despite being removed from the Grey List in 2022. At the heart of India's case are videos reportedly showing figures linked to Lashkar-e-Tayiba (LeT) and its alleged political front, the Pakistan Markazi Muslim League (PMML), participating in public events. India views this as a blatant attempt by Pakistan to legitimize known terrorists, even as groups like LeT and Jaish-e-Mohammad (JeM) continue to employ informal hawala networks, charity fronts, and digital assets like cryptocurrencies for funding their operations. Pakistan's previous grey-listing from 2018 to 2022 severely impacted its economy, restricting access to international finance and foreign investment. With India's Vivek Aggarwal recently appointed as FATF Vice-President from July 2026, New Delhi aims to leverage its increased standing to build international consensus for stronger action against Islamabad. The upcoming FATF plenary in Paris from October 26-30 will be a crucial forum, where India plans to present its compiled dossier of evidence. The outcome will not only determine Pakistan's financial future but also significantly influence regional security dynamics and the global fight against terror financing.