India Backs FATF in Veiled Dig at Pakistan: 'Attempts to Question It Reflect Fear of Scrutiny'

India on Tuesday threw its weight behind the Financial Action Task Force (FATF), asserting that attempts to question the credibility of the global financial watchdog stem from a "fear of scrutiny" rather than genuine concerns over its functioning.

The Ministry of External Affairs (MEA) made the remarks in response to questions regarding criticism directed at the FATF, in comments widely interpreted as an indirect reference to Pakistan.

India's Strong Endorsement of FATF

Addressing the media, MEA spokesperson Randhir Jaiswal said the FATF remains a credible, objective and technically robust international institution tasked with combating money laundering, terror financing and the proliferation of weapons of mass destruction.

"Attempts to question the FATF's credibility and objectivity reflect a fear of scrutiny rather than any substantive concern about its processes," Jaiswal said.

He added that the watchdog's work is based on established international standards and rigorous peer-review mechanisms, making it an essential pillar of the global financial system.

Veiled Response to Pakistan

Although the MEA did not mention Pakistan by name, the comments came amid renewed criticism of the FATF by Islamabad following recent discussions surrounding the body's assessments and compliance mechanisms.

India has consistently maintained that countries must fulfil their international obligations to curb terror financing and money laundering instead of questioning institutions responsible for monitoring compliance.

New Delhi has frequently accused Pakistan of providing safe havens to terrorist groups, an allegation Islamabad has repeatedly denied.

FATF's Role

The Financial Action Task Force is an intergovernmental organisation established in 1989 to develop and promote policies aimed at combating money laundering, terrorist financing and other threats to the integrity of the global financial system.

It evaluates countries based on their legal, regulatory and operational frameworks and recommends measures to address identified deficiencies.

Being placed on the FATF's "grey list" can affect a country's international financial credibility and access to foreign investment, while blacklisting carries even more severe economic consequences.

India Calls for Compliance

India reiterated that all nations should cooperate fully with international mechanisms designed to strengthen financial transparency and combat cross-border terrorism.

The MEA said the focus should remain on implementing FATF standards effectively rather than attempting to undermine the institution's credibility.

New Delhi has long argued that robust implementation of anti-money laundering and counter-terror financing measures is critical for ensuring global security and financial stability.

Broader Diplomatic Context

The remarks come against the backdrop of continuing tensions between India and Pakistan over issues related to terrorism and regional security.

India has repeatedly used international forums to press for stronger action against terror financing, while emphasising the importance of multilateral institutions such as the FATF in enforcing global standards.

The latest statement signals New Delhi's continued support for the watchdog and reinforces its position that international oversight mechanisms should be respected rather than politicised.