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FATF gives Pakistan time till October to act against terror, India says it expects compliance

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India said today (Saturday, June 22) it expected Pakistan to “take all necessary steps to effectively implement the FATF action plan”, a day after the Financial Action Task Force (FATF) issued a strong warning to Pakistan, stating that the country could be blacklisted unless it fulfils an internationally agreed action plan against UN-designated terrorists operating on its soil by October.

“We expect Pakistan to take all necessary steps to effectively implement the FATF Action Plan fully within the remaining time frame i.e. by September 2019 in accordance with its political commitment to the FATF & take credible, verifiable, irreversible and sustainable measures to address global concerns related to terrorism and terrorist financing emanating from any territory under its control,” the Ministry of External Affairs said in a statement, PTI reported.

Ministry of External Affairs Spokesperson Raveesh Kumar said the FATF has decided to continue to keep Pakistan on its compliance document  (i.e. Grey List) for the International Cooperation Review Group (ICRG) monitoring for its failure to complete the action plan items due in January and May 2019.

The FATF had said it was concerned that Pakistan had failed to complete the action plan first by a January deadline and then again by a May deadline.

“The FATF strongly urges Pakistan to swiftly complete its action plan by October 2019 when the last set of action plan items are set to expire. Otherwise, the FATF will decide the next step at that time for insufficient progress,” it said after a meeting in Orlando, Florida held from June 16-21.

If it is blacklisted by the FATF, Pakistan stands the risk of facing global sanctions.

Pakistan is on FATF’s “Grey List” of countries with inadequate controls over curbing money-laundering and terrorism financing. Media reports citing sources in the US said that prominent countries such as the US, UK and France, along with India, have expressed reservations about Pakistan’s commitment to stick to standards set by FATF on terror funding. The countries have raised the issue of Pakistan not having filed a single FIR against UN-designated terrorists Hafiz Saeed and Masood Azhar and its inability to begin investigations on the source of funding of their organisations, the sources said.

They pointed out that its anti-terror law still remains out of sync with standards set by the international body. “It’s a serious anomaly that Pakistan’s anti-terror law still remains out of sync with FATF standards and also the latest UN resolution 2462, which calls for criminalising terrorist financing. We have pointed this out regularly at plenary sessions,”said NDTV quoting a senior officer of external affairs ministry.

Pakistan is lobbying to get itself out of the Grey List, which has put tremendous financial pressure on the nation as it would face an estimated annual loss of $10 billion if it stays in it; and if blacklisted, its already fragile economy will be dealt a powerful blow. Its $6 billion loan agreement with the International Monetary Fund (IMF) could be threatened. The IMF has asked Pakistan to show commitment against money laundering and terror financing.

India, a voting member of the FATF and APG, has been pushing for Pakistan to be put in the FATF Black List for its failure to contain terrorism. However, it was not part of the group that moved the resolution to greylist Pakistan last year in Paris.

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At the October plenary in Paris Pakistan will need 15 countries to support it to stay out of the greylist. China will take over the presidency of FATF which is being seen in Pakistan as a positive sign that it could help Islamabad to stay out of the greylist. The current plenary reviewed Pakistan’s actions and urged it to complete its commitments – Pakistan has not moved on 25 out of 27 action plans determined for it in October 2018.

In the run-up to the current plenary, China had quietly lobbied to not include Pakistan in the public statement, reported The Times of India (TOI). In this, Beijing was supported by the Turkey, Malaysia and GCC countries including Saudi Arabia. They wanted Pakistan to be spared the humiliation of a public statement. On the other hand, the four countries who originally named Pakistan in the greylist last year – US, UK, Germany and France – have said they want “sustained and irreversible” action against its terror infrastructure. In the end, everybody signed on to the statement.[/vc_column_text][/vc_column][/vc_row]

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PM Modi and Netanyahu pledge deeper defence, trade ties during Israel visit

PM Narendra Modi and Benjamin Netanyahu pledged to deepen defence, trade and connectivity ties during Modi’s visit to Israel, with missile deals and IMEC discussions on the agenda.

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Prime Minister Narendra Modi and Israeli Prime Minister Benjamin Netanyahu have reaffirmed their commitment to strengthening defence, trade and security cooperation, marking a significant step forward in India-Israel relations during Mr Modi’s visit to Tel Aviv.

Addressing Israel’s parliament, the Knesset, Mr Modi described defence cooperation as an “important pillar” of the bilateral partnership and stressed the need for closer collaboration in an increasingly uncertain global environment.

“In today’s uncertain world, a strong defence partnership between trusted partners like India and Israel is of vital importance,” he said.

Defence deal likely on agenda

During the visit — Mr Modi’s first to Israel in nine years — discussions are expected to include a major order for Israeli-made missile systems. An official in New Delhi familiar with the matter indicated that details of the potential deal may not be publicly disclosed, as both governments are keen to keep the spotlight on broader strategic ties.

India’s Ministry of External Affairs has not commented on the reported missile purchase.

Israel has long been among India’s key arms suppliers. Over the years, the defence relationship has evolved into joint manufacturing projects, including drones and missile systems. Ahead of the visit, Israel’s Ambassador to India, Reuven Azar, said both sides are working towards a more comprehensive defence and security framework that could open doors for cooperation on more sensitive projects.

Focus on trade and investment

Trade and investment featured prominently in the leaders’ discussions. Mr Modi said both governments are committed to expanding bilateral trade, boosting investment flows and promoting joint infrastructure projects.

Israeli negotiators recently travelled to India to begin formal talks on a proposed free-trade agreement, building on terms agreed in November. Such a pact could provide Israel greater access to one of the world’s fastest-growing economies.

According to Israel’s Economy and Industry Ministry, India is Israel’s second-largest trading partner in Asia, with bilateral trade estimated at $5 billion in 2025, excluding defence transactions.

India is also the largest buyer of Israeli defence equipment, accounting for up to 34% of Israel’s total arms exports, according to data from the Stockholm International Peace Research Institute.

Regional security and Gaza ceasefire

The visit comes amid shifting regional alliances and ongoing security challenges. Referring to last year’s ceasefire in Gaza, Mr Modi said the truce created an opportunity for closer cooperation.

He also welcomed the US-brokered peace plan for Gaza, later endorsed by the United Nations, saying it holds the promise of a just and durable peace, including progress on the Palestine issue. However, uncertainty remains over the future of the truce with Hamas, with key governance and security questions yet to be resolved.

Strategic observers note that both leaders see their countries as operating in complex neighbourhoods marked by security threats and geopolitical shifts.

Connectivity push through IMEC

Connectivity initiatives also featured in the discussions. Mr Netanyahu told the Knesset that India and Israel are working on developing a maritime and land corridor linking India to Israel’s port of Haifa and onward to Europe.

The plan builds on the India-Middle East-Europe Economic Corridor initiative unveiled in September 2023. Although the outbreak of the Israel-Hamas conflict soon after raised concerns about the project’s future, Israeli officials have indicated that the corridor remains viable.

Haifa port, partly acquired by India’s Adani Group, is expected to play a key role as the Mediterranean endpoint of the corridor.

As India and Israel seek to reinforce strategic, economic and security ties, the visit underlines the growing convergence between New Delhi and Tel Aviv in defence, trade and regional connectivity.

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Canada softens stance on alleged Indian interference ahead of PM Carney’s India visit

Canada appears to ease its earlier allegations of Indian interference as PM Mark Carney heads to India to strengthen trade and strategic ties.

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Canada appears to be easing its earlier allegations of Indian interference as Prime Minister Mark Carney prepares for a key visit to India aimed at rebuilding commercial and diplomatic ties.

Senior officials in Ottawa indicated that the Canadian government maintains “mature and robust discussions” with the Government of India on concerns related to foreign interference. They also emphasised that Canada has strong safeguards in place to protect its democratic institutions.

According to officials quoted by media, the Prime Minister would likely not be travelling to India if Ottawa believed New Delhi was actively interfering in Canada’s democratic processes. The remarks suggest a noticeable shift from the strong accusations levelled last year.

Officials said there has been sustained engagement with the government of Narendra Modi at multiple levels, including senior officials, ministers and leadership-level interactions. They expressed confidence that the discussions provide a foundation for further constructive dialogue.

At the same time, a senior official reiterated that Canada maintains “no tolerance” for foreign interference in its domestic affairs.

From allegations to engagement

The recent comments contrast with statements made last June by the Canadian Security Intelligence Service (CSIS), which accused India of being among the primary actors involved in foreign interference and espionage activities in Canada.

CSIS had also described alleged links between Indian authorities and the 2023 killing of Hardeep Singh Nijjar in Vancouver as a “significant escalation” in India’s actions against the Khalistan movement.

India firmly rejected those accusations. The dispute triggered a diplomatic standoff, with both countries expelling senior diplomats from Ottawa and New Delhi in a tit-for-tat move.

Carney’s push to rebuild ties

Prime Minister Carney’s visit to India is being positioned as part of a broader Indo-Pacific outreach and a more pragmatic foreign policy approach. His trip will begin in Mumbai before he heads to New Delhi for talks with Prime Minister Modi.

The visit comes as both nations seek to stabilise relations that deteriorated sharply following Canada’s allegations over Nijjar’s killing — claims that New Delhi strongly denied.

Carney’s office has said discussions will centre on expanding cooperation in trade, energy, technology, artificial intelligence, talent mobility, culture and defence.

Growing trade partnership

India is currently Canada’s seventh-largest trading partner in goods and services. Annual bilateral trade exceeds $21 billion, according to Canadian government data.

The two sides had previously agreed to resume negotiations on a proposed free-trade agreement, targeting bilateral trade of $50 billion by 2030.

More than 600 Canadian companies operate in India across sectors such as information technology, banking, health sciences and financial services. Key Indian exports to Canada include pharmaceuticals, gems and jewellery, precious stones and seafood.

Diplomatic ties show signs of recovery

Canada hosts approximately 2.8 million people of Indian origin. Nearly 400,000 Indian students are enrolled in Canadian universities, making them the largest group of international students in the country.

Canada is also home to the largest Sikh population outside India, including some fringe separatist elements advocating for Khalistan.

Relations between the two countries began to improve after Carney assumed office in March 2025, with envoys restored and diplomatic engagement gradually resuming.

The upcoming visit is being viewed as a significant step toward stabilising ties and advancing economic cooperation amid shifting global trade dynamics and uncertainties linked to policies under US President Donald Trump.

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PM Modi reaffirms support for Israel, recalls 26/11 victims in Knesset address

Addressing Israel’s parliament, PM Narendra Modi reaffirmed India’s support for Israel, condemned terrorism, and recalled the 26/11 Mumbai attacks.

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Prime Minister Narendra Modi on Wednesday addressed the Knesset, expressing solidarity with Israel and condemning terrorism, while highlighting the growing partnership between the two nations.

Calling it a rare honour, Mr Modi said he brought greetings from 1.4 billion Indians and described his address as a symbol of the warmth between the two democracies.

Condolences over October 7 attack

The Prime Minister conveyed condolences for the lives lost in the October 7 attack by Hamas. He said India shares Israel’s grief and stands firmly with the country “with full conviction in this moment and beyond”.

“Nothing can justify terrorism,” Mr Modi said, adding that India too has suffered from terror attacks for decades. He recalled the 26/11 Mumbai attacks and the innocent lives lost, including Israeli citizens, and reiterated India’s policy of zero tolerance towards terrorism without double standards.

Reference to Abraham Accords and regional hope

Referring to the Abraham Accords, Mr Modi said India had applauded the vision and courage shown at the time. While noting that the regional situation has since become more challenging, he stressed the importance of sustaining hope for peace.

Historic ties and expanding partnership

The Prime Minister said he was the first Indian Prime Minister to visit Israel nine years ago and expressed happiness at returning. He also noted that he shares his birth date — September 17, 1950 — with the day India formally recognised Israel.

Recalling his earlier visit to Israel as Gujarat Chief Minister in 2006 and his 2017 trip as Prime Minister, Mr Modi said bilateral ties were elevated to a Strategic Partnership during the latter visit. Since then, he added, engagement has broadened across sectors.

He pointed to cooperation in innovation, mentioning the inauguration of the iCreate Technology Business Incubator in 2018 with then Prime Minister Benjamin Netanyahu. The incubator, he said, has since supported nearly 900 start-ups.

Shared civilisational values

Mr Modi said Jewish communities have lived in India without fear of persecution and have preserved their faith while participating fully in society. He described this as a matter of pride.

Highlighting philosophical parallels, he referred to the Israeli concept of “Tikkun Olam”, meaning healing the world, and India’s belief in “Vasudhaiva Kutumbakam”, which sees the world as one family. Both traditions, he said, call for compassion and moral courage beyond immediate boundaries.

He also acknowledged the contribution of Indian caregivers and skilled workers in Israel, noting their courage and dedication, including during the October 7 crisis.

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