FATF-The anti-terror watchdog condemns Pahalgam attack
Financial Action Task Force (FATF) expresses grave concern over the Pahalgam terror attack, emphasises that such acts of terror could not occur without money and the means to move funds between terrorist supporters
By R Anil Kumar
Bengaluru. Financial Action Task Force (FATF), the global watchdog on money laundering and terror financing has strongly condemned the brutal terrorist attack that took place in Pahalgam, Jammu and Kashmir, on April 22, 2025, which resulted in the death of 26 innocent people.
In it’s Official Statement FATF expressed, ‘grave concern’ over the attack, emphasising that such acts of terror could not occur without money and the means to move funds between terrorist supporters.
FATF’S condemnation is especially significant as it comes amid persistent allegations by Indian authorities regarding Pakistan’s continued support for terrorism including the funneling of International funds for arms procurement.
The Statement aligns with India’s position that cross-border terrorism is facilitated by Financial networks that enables the movement of funds to terrorist Organisations.
The FATF has announced an enhanced focus on the effectiveness of measures countries have implemented to combat terror financing. This means that, beyond simply setting standards the watchdog will closely examine how well the countries are enforcing anti money laundering (AML) and counter-financing of terrorism (CFT) Regulations.
FATF mutual evaluations will continue to identify gaps and strategic deficiencies and the Countries found lacking may face increased scrutiny or may be placed on the ‘grey list.
India is preparing a Comprehensive dossier for submission to FATF, detailing Pakistan’s alleged ommissions and violations of FATF norms with the aim of advocating for Pakistan’s re-inclusion on the ‘grey list’. This move is supported by intelligence shared with key FATF Member Countries, and is seen as a Diplomatic win for India, reinforcing it’s long standing claims regarding Pakistan’s role in supporting terrorism.
FATF’s Statement also highlighted the evolving nature of terror financing noting risks associated with the abuse of social media, crowdfunding platforms and virtual assets.
The Organisation plans to release a Comprehensive analysis of terrorist financing, drawing on case studies from it’s global network and will host a webinar to help both public and private sectors to stay alert to emerging threats.
FATF President Elisa de Anda Madrazo, speaking at the recent ‘No Money for Terror’ Conference, in Munich stressed for the need for unified global action, stating ‘ No single Company, Authority or Country can combat this challenge alone. We must be unified against the scourge of global terrorism and defeat them in unison.
FATF’S condemnation of the Pahalgam terror attack marks a direct intervention by the global body, signalling increased International resolve to address terror financing and supporting India’s diplomatic efforts to hold countries accountable for facilitating terrorism through financial channels.
