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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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Mojtaba Khamenei warns against expecting US policy shift after midterms

Iran’s Supreme Leader Mojtaba Khamenei has warned against expecting a change in US policy towards Tehran following the Democratic Party’s victory in the US midterm elections. He also cautioned that any renewed American attacks on Iran would widen the ongoing Middle East war.

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Iran’s Supreme Leader Mojtaba Khamenei has warned against expecting a change in US policy towards Tehran following the Democratic Party’s victory in the US midterm elections. He said those hoping that political changes in Washington would lead to a shift in America’s approach towards Iran were seriously mistaken.

His remarks came after Democrats secured control of both the US House of Representatives and the Senate, dealing a major electoral setback to President Donald Trump and his Republican Party.

In a message posted on the social media platform X on Wednesday, November 4, Khamenei said Iranians understood their position towards the United States more clearly than ever. He also said that examining the reasons behind what he described as US hostility and Iran’s resistance would provide guidance for the country’s future course.

Khamenei cautioned against viewing changes in the political balance in Washington as an indication that American policy towards Iran would become less hostile.

Khamenei Warns Of Wider Middle East War

The Iranian Supreme Leader also warned that the ongoing Middle East war could expand further if the United States resumed its attacks on Iran.

“Should such aggressions be repeated, its (the war) scope will become much wider,” he said.

His warning comes amid continuing tensions between Washington and Tehran, with the conflict involving the two countries remaining a major issue in US politics.

Democrats Take Control Of Both Houses Of Congress

The Democratic Party secured control of both chambers of the US Congress in the midterm elections, marking a significant setback for Trump’s Republicans.

The party benefited from public dissatisfaction with Trump and gained greater power to scrutinise and challenge his administration during the final two years of his presidency.

Trump, meanwhile, struck a conciliatory tone in an interview with The New York Times, saying he was “absolutely willing to accept those results” and was prepared to work with Democrats.

Iran War Emerged As A Key Election Issue

The war involving Iran was among the major issues during the US midterm election campaign.

Democratic candidates criticised Trump over the conflict and linked it to economic difficulties that had contributed to frustration among voters across the country.

Khamenei’s remarks, however, indicated that Tehran does not expect the change in congressional control to result in a fundamental shift in Washington’s approach towards Iran.

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Trump says Republicans would have won US midterms if he was on ballot

US President Donald Trump claimed Republicans would have won the 2026 midterm elections in a landslide if he had been on the ballot, as Democrats made significant gains in key congressional contests.

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US President Donald Trump has reacted to the Republican Party’s setbacks in the 2026 US midterm elections, claiming that the party would have secured a landslide victory if he had been on the ballot.

Trump made the remark as Democrats registered significant gains in congressional contests, putting Republican control of Congress under pressure.

The November 3 midterm elections were widely seen as an important test of Trump’s presidency, with all 435 seats in the House of Representatives and 35 Senate seats up for election.

According to Trump’s assessment, his presence on the ballot would have changed the outcome for Republicans.

The President’s remarks came after Democrats made significant advances in several closely watched races, challenging Republican control of both chambers of Congress.

Democrats make gains in key congressional races

The election results indicated a strong performance by Democrats in several important contests.

In the Senate, Democrats flipped multiple Republican-held seats, including victories in Texas, South Carolina and Ohio. In the House of Representatives, Democratic candidates also defeated several Republican incumbents, bringing the party closer to securing a majority.

The developments raised the possibility of Democrats taking control of both chambers, although some contests were still being counted.

A change in congressional control would have significant implications for Trump’s remaining presidential term, potentially making it more difficult for his administration to advance its legislative agenda.

Why the 2026 US midterm elections matter

The US midterm elections take place halfway through a president’s four-year term. Unlike presidential elections, voters elect members of Congress, including representatives and a portion of the Senate.

The elections are particularly important because the party controlling Congress has considerable influence over legislation, government spending and oversight of the administration.

For Trump, the 2026 elections were a major political test as Republicans sought to maintain their congressional majorities.

Democratic gains could change the political balance in Washington during the final two years of his presidency.

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Trump approval rating near record low at 32% ahead of US midterms

US President Donald Trump’s approval rating remained at 32% ahead of the congressional midterm elections, just above his record-low reading of 31% recorded two weeks earlier, according to a nationwide poll.

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US President Donald Trump’s approval rating remained close to its lowest level ahead of Tuesday’s congressional midterm elections, with a nationwide poll indicating that a significant section of American voters viewed their ballots as an opportunity to express opposition to the Republican leader.

According to the latest poll completed on Monday, November 2, only 32% of respondents approved of the job Trump was doing as President. The figure was unchanged from the previous week and just one percentage point above his record-low reading of 31%, recorded two weeks earlier.

The findings come as Republicans seek to retain their majorities in Congress, with all 435 seats in the House of Representatives up for grabs and several closely contested races expected to shape the Senate.

Although Trump himself is not on the ballot, his presidency has emerged as a significant factor in the midterm elections.

Democrats lead Republicans in nationwide congressional preference

The poll found that Democrats held an eight-percentage-point advantage over Republicans when respondents were asked which party they preferred to see in charge of Congress.

Around 46% of respondents favoured Democrats, compared with 38% who preferred Republicans.

However, the Democratic lead was narrower than the 11-percentage-point advantage recorded in a similar poll conducted a week earlier.

The so-called generic ballot question provides an overall indication of voters’ preferences between the two parties for control of Congress. However, it does not account for differences between individual states and congressional districts, which ultimately determine the composition of the House and Senate.

Political strategists from both parties believe Democrats have a stronger opportunity to take control of the House of Representatives. Their prospects in the Senate are considered more difficult, with the party facing challenges in states including Alaska and Michigan.

Half of independent voters see their vote as opposition to Trump

The survey also highlighted the extent to which Trump is influencing voters’ decisions despite not contesting the election himself.

Among registered independent voters, 50% said they viewed their congressional vote as a vote against Trump.

In comparison, 13% said their vote was in support of the President, while 33% said Trump was not a factor in their voting decision.

These findings indicate that voters’ views of the President are an important consideration for a section of the electorate heading into the congressional elections.

Rising cost of living emerges as a major election issue

Economic concerns, particularly the rising cost of living, featured prominently in the poll.

Around 78% of respondents said the cost of living would be either a very important or the most important issue in determining their voting decisions.

When asked which party was better equipped to handle the issue, 43% chose Democrats, compared with 32% who favoured Republicans.

The poll also pointed to concerns over rising fuel prices following the US military campaign against Iran, which began in February.

The increase in fuel prices has added to the economic challenges facing the Trump administration ahead of the elections.

Democrats report greater enthusiasm about voting

The survey also found a difference in voting enthusiasm between supporters of the two major political parties.

Around 49% of Democratic voters said they were very enthusiastic about voting in the midterm elections.

Among Republican voters, the corresponding figure stood at 33%.

The difference in enthusiasm is an important factor for both parties as they seek to mobilise their supporters and secure votes across the country.

The latest poll surveyed 1,765 US adults online and had a margin of error of two percentage points.

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