Pakistan Under Financial Action Task Force Scanner for Ballistic Missile Program, India May Push for Sanctions

New Delhi: Pakistan has once again come under international scrutiny, this time facing allegations of being involved in the development of ballistic missiles that go against global standards.

An FATF report on ‘Complex Proliferation Financing and Sanctions Evasion Schemes’, referenced a case from 2020 where Indian authorities seized multiple suspicious shipments linked to Pakistan that contained dual-use items—materials that can be used for both civilian and military purposes—suspected to be intended for missile development.

According to the latest findings, it appears that Pakistan may have been secretly diverting funds towards ballistic missile programs, which would violate its commitments to the United Nations Security Council (UNSC) and various international export control agreements.

The report criticizes Islamabad, declaring that Pakistan is “involved in development of ballistic missiles” and has been breaking norms. It noted:

“The Bill of Lading of the seized cargo provided evidence of the link between the importer and the National Development Complex.”

The FATF also underlined how state-sponsored terrorism depends on money and logistics. In its stern warning, it said:

“This, and other recent attacks, could not occur without money and the means to move funds between terrorist supporters.”

India is likely to take advantage of this situation to advocate for stronger measures against its neighbour. Sources suggest that New Delhi may present detailed evidence, complete with satellite images and intelligence reports, to the FATF and UNSC committees to demand accountability. Additionally, India might push for targeted sanctions against Pakistani entities linked to these covert activities.

The FATF has reportedly connected some of these violations to dual-use items that may have been acquired through front companies. This not only breaches non-proliferation agreements but also calls into question the reliability of Pakistan’s export control systems.

This isn’t the first time Pakistan has found itself in hot water. The country only recently emerged from the FATF grey list in 2022 after years of scrutiny over lapses in terror financing. These new allegations could lead to renewed global pressure and even a reassessment of Pakistan’s FATF status.