India Pushes for Pakistan's FATF Grey-listing Amidst Strengthened US Ties

 India is intensifying its diplomatic efforts to have Pakistan re-included in the Financial Action Task Force's (FATF) 'grey list' of countries under increased scrutiny for terror financing. This strategic push was a key focus of Foreign Secretary Vikram Misri's recent visit to the United States, where he engaged with top American officials on deepening economic, financial, and defense cooperation.

During his three-day visit (May 27-29), Foreign Secretary Misri held crucial discussions with U.S. Deputy Secretary of the Treasury Michael Faulkender, explicitly addressing coordination on "upcoming Financial Action Task Force (FATF) processes." This signals India's intent to leverage its strong bilateral relationship with the US to build a compelling case against Pakistan at the upcoming FATF plenary meeting in June.

India's renewed efforts stem from its consistent stance that Pakistan's security establishment maintains direct links with terror organizations like Lashkar-e-Taiba and Jaish-e-Mohammed, which are responsible for cross-border terror attacks. The Indian government argues that these ties necessitate rigorous financial oversight on Pakistan to curb terror financing. This initiative follows India's recent submissions to the UN Security Council's 1267 Sanctions Committee.

Beyond the FATF agenda, Misri's visit underscored the burgeoning "technology, trade, and talent" pillars of the India-U.S. relationship. Meetings with U.S. Deputy Secretary of State Christopher Landau and Under Secretary of Commerce Jeffrey Kessler focused on reviewing the progress of the India-U.S. Bilateral Trade Agreement and exploring cooperation in critical and emerging technologies. Both sides committed to convening the next India-U.S. Strategic Trade Dialogue promptly and streamlining export control regulations like ITAR.

The visit also solidified the "robust and forward-looking defense partnership" between the two nations. Discussions with Deputy Secretary of Defence Steve Feinberg and Under Secretary for Policy Elbridge Colby emphasized co-production and co-development initiatives, sustained joint military exercises, and enhancing interoperability between their armed forces.

This diplomatic offensive comes after Operation Sindoor against terror targets in Pakistan and amidst US President Donald Trump's repeated claims of de-escalating the recent India-Pakistan military conflict through trade leverage. Foreign Secretary Misri's engagement with the US highlights India's multi-pronged approach to address national security concerns while simultaneously strengthening crucial bilateral ties.