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Pakistan back on terror watch list after China withdraws objection

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Global money laundering watchdog FATF – the Financial Action Task Force – has put Pakistan back on its terrorist financing watch list after China, which was supporting its closest ally till now, withdrew its objections under intense pressure from the US and others, said media reports.

An official announcement was expected to come later.

A non-Indian diplomatic source from one of the FATF countries confirmed that the group had decided Pakistan would be put back on the watchlist, said media reports. Earlier in the week China, Turkey, and the Gulf Cooperation Council (GCC) were opposing the US-led move against Pakistan but by Thursday night both China and the GCC dropped their opposition, said a report in The India Express quoting a diplomatic source.

“The decision was taken yesterday,” the diplomat said. He added that the financial consequences would not kick in until June, which, in theory, could allow Pakistan the wriggle room to fix the terrorist financing issues. “But the odds of that, particularly in an election year, seem slim,” he added.

Pakistani officials and analysts fear being on the FATF watchlist could endanger its handful of remaining banking links to the outside world, causing real financial pain to the economy just as a general election looms in the summer.

Islamabad has sought to head off the move by amending its anti-terrorism laws and by taking over organizations controlled by Hafiz Saeed, a Pakistan-based Islamist whom Washington blames for the 2008 Mumbai attacks that killed 166 people.

On Tuesday, Foreign Minister Khawaja Asif had  tweeted that Pakistan had received a 3-month reprieve, adding that it was “grateful to friends who helped”. He had claimed a victory, saying that there wasn’t a consensus against the country: the 35-member body works by consensus.

The resolution against Pakistan was moved by the US, which wants to put pressure on Islamabad for not doing enough to comply with anti-terrorist financing and anti-money laundering regulations.

The move is part of a broader US strategy to pressurise Pakistan to cut its links to terror groups in Afghanistan and take more action against terror groups that allegedly have support and sanctuary within Pakistan. Pakistan’s relations with the US have deteriorated over the past year and in his first tweet of 2018, President Donald Trump said Pakistan gave “lies and deceit” in return for American funding.

Being placed on the FATF watch list may impede Pakistan’s access to global markets at a time when its foreign reserves are dwindling and external deficits are widening ahead of national elections in July.

Last week Pakistan vigorously tried to avoid inclusion to the list and announced that it has changed a law and now allowed its security forces to take action against groups on the UN Security Council list – such as Saeed’s charities which are alleged fronts for militant group Lashkar-e-Taiba. It also seized dozens of offices, buildings, seminaries and ambulances belonging to Saeed’s Jamaat-ud-Dawa and Falah-e-Insaniat Foundation.

Pakistan’s Prime Minister Shahid Khaqan Abbasi also said in an interview this month that in the last two-to-three months Pakistan has “more or less complied” with sanctions against Saeed’s organizations. However, Abbasi said more action against Saeed himself was unlikely as there were no charges against him in Pakistan.

On Thursday, White House spokesman Raj Shah said Trump was not yet satisfied with Pakistan’s progress in fighting terrorism. However, Pakistan government claimed any financial squeeze will affect its capacity to fight terrorism and ultimately aid extremism.

Pakistan was on the watch list between 2012-2015 as well but only for money laundering.

The action comes three years after FATF removed Pakistan from the list of countries which are subjected to regular monitoring. However, during the previous period under FATF monitoring, Pakistan managed to negotiate an International Monetary Fund bailout and continued to tap the international bond market.

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S Jaishankar says India is a natural option for Russia amid Europe tensions

External Affairs Minister S Jaishankar said India remained a natural option for Russia as Moscow increasingly turned towards Asia amid strained relations with Europe. He highlighted the continuity of India-Russia ties and their significance for the balance of power in Asia.

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External Affairs Minister S Jaishankar has described India as a natural option for Russia as Moscow increasingly looks towards Asia amid deteriorating relations with Europe. He said India’s longstanding relationship with Russia had remained steady despite significant changes in the international strategic landscape.

Jaishankar made the remarks during a conversation with John Micklethwait, editor-in-chief of the Bloomberg New Economy Forum. He discussed how the Russia-Ukraine war had affected Moscow’s relationship with Europe and contributed to Russia’s growing focus on Asia.

Jaishankar highlights Russia’s shift towards Asia

Jaishankar said Russia’s relationship with Europe had become deeply strained following the Ukraine war. He noted that Russia had historically viewed itself as a European country and placed considerable importance on its relations with Europe and the United States.

However, the conflict had pushed Moscow to look increasingly towards Asia,with much of that shift directed towards China.

The minister said it was in India’s interest, as well as the wider world’s interest, for Russia to maintain multiple relationships in Asia rather than having its options concentrated in one direction.

Against this backdrop, he described India as a natural partner for Russia, pointing to the longstanding nature of the relationship between the two countries.

India-Russia ties remain steady despite global changes

Jaishankar said India and Russia had maintained a consistent relationship over several decades. He emphasised that New Delhi continued to engage with Moscow even as the global order and Russia’s strategic calculations evolved.

According to the minister, India was reassuring Russia that the relationship built over nearly eight decades remained steady despite the changes in Moscow’s relations with Europe and the wider West.

He stressed that India was not passing a value judgment on those changes but was continuing its bilateral engagement with Russia.

Jaishankar said the relationship had benefited both countries and contributed to the balance of power and the broader status quo in Asia. 

Why the relationship matters for Asia

Jaishankar’s remarks highlighted India’s position in Russia’s changing regional outlook. As Moscow increasingly turns towards Asia, India continues to maintain its longstanding ties with Russia while navigating a changing international environment.

The minister’s comments underscored the importance he placed on preserving India-Russia ties and ensuring that Russia maintained multiple relationships in Asia. 

His assessment came against the backdrop of strained Russia-Europe relations following the war in Ukraine, which has reshaped Moscow’s engagement with Western countries and increased its focus on Asian partners.

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Putin praises PM Modi, says he has very good ideas on Ukraine war

Russian President Vladimir Putin has praised Prime Minister Narendra Modi for repeatedly raising the need to end the Ukraine war, describing his ideas for a settlement as “very good”.

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Vladimir Putin

Russian President Vladimir Putin has praised Prime Minister Narendra Modi for his continued efforts to promote an end to the Russia-Ukraine war, saying the Indian leader has “very good ideas” aimed at finding a mutually acceptable solution.

Putin made the remarks while addressing the Valdai Forum of international Russia experts, where he spoke about Modi’s repeated efforts to raise the issue of ending the conflict.

What Putin said about PM Modi

Putin said Modi has continued to raise the question of ending the conflict despite the close and friendly relationship between India and Russia.

According to Putin, the Prime Minister has shown a strong interest in finding a solution and has ideas that could help identify mutually acceptable ways to resolve the conflict.

Putin also described India’s position as neutral while highlighting Modi’s interest in bringing the conflict to an end through peaceful means.

The Russian president expressed gratitude to Modi for his ideas and his desire to see the conflict end as soon as possible.

Modi’s position on the Ukraine war

PM Modi has repeatedly called for dialogue and diplomacy to resolve conflicts, including during his meetings with Putin.

During their September 11 meeting in New Delhi, Modi reiterated that dialogue and diplomacy are the way forward for resolving conflicts.

Modi had also told Putin during their meeting on the sidelines of the Shanghai Cooperation Organisation summit in Bishkek that the situation needed to move from “endless war” towards an end to the war.

India has consistently maintained that conflicts should be addressed through dialogue and peaceful means, with Modi previously describing the present period as not being an era of war.

The Russia-Ukraine conflict began in February 2022 and has continued despite repeated diplomatic efforts to seek a resolution.

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S Jaishankar calls Pakistan a “serial practitioner of terrorism” at UN

S Jaishankar criticised Pakistan at the UN General Assembly, referring to a “serial practitioner of terrorism” and warning against attempts to normalise terrorism.

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S Jayshankar

External Affairs Minister S Jaishankar criticised Pakistan during his address to the 81st session of the United Nations General Assembly in New York, saying that a “serial practitioner of terrorism” had misrepresented facts and that arguments were being made to normalise terrorism. 

Jaishankar’s remarks came a day after Pakistan Prime Minister Shehbaz Sharif addressed the UN General Assembly and spoke about the 2025 military confrontation between India and Pakistan.

Jaishankar’s message to Pakistan

Referring to Pakistan without naming it directly in that remark, Jaishankar said a “serial practitioner of terrorism” had misrepresented facts before the UN General Assembly.

He said arguments were being made to normalise terrorism and claim immunity from its consequences, adding that such an approach would not stand. 

Jaishankar reiterated India’s position that the country would exercise its right to defend itself against terrorism.

He also said that friendship and goodwill could not coexist with terrorism and that understandings based on such circumstances would naturally be called into question. 

“It is for the perpetrator of terrorism to mend its ways,” Jaishankar said.

India stresses zero tolerance on terrorism

Jaishankar described terrorism as a persistent threat to peace and called for governments involved in cross-border terrorism to be held accountable.

He also stressed that there should be no dilution in India’s zero-tolerance approach towards terrorism and particularly called for greater attention to its financial aspects.

His remarks came a day after Pakistan Prime Minister Shehbaz Sharif referred to the 2025 India-Pakistan military confrontation during his UN General Assembly address. 

Jaishankar backs two-state solution for Palestine

During his UN address, Jaishankar also spoke about the situation in West Asia and said India was prepared to contribute to efforts addressing food and energy security amid continuing tensions and violence.

On the Palestine issue, he reiterated India’s longstanding support for a two-state solution.

Jaishankar said India was also contributing humanitarian assistance and relief efforts for the Palestinian people.

He also warned about continuing threats and pressures around the world and stressed the need for greater stability, security and predictability.

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