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In the post-9/11 period, tackling the vertical and horizontal growth of international terrorism has become a major challenge for the international community, more pertinently for the liberal states. About three decades ago, Paul Wilkinson wrote a book entitled Terrorism and the Liberal State in which he made a hypothetical statement that the liberal states in today’s world were more vulnerable to terrorist attacks and threats than any other political system. Totalitarian societies do not provide any space to terrorism in view of the fact that this system does not recognize the importance of civil societies. However, the point to be noted is that in today’s globalized international order, terrorist activities are not only confined within the territory of liberal societies alone, rather it has engulfed many parts of the globe that includes non-liberal societies as well. Therefore, strengthening democratic regimes and values is not the solution to abolish terrorism. In this context, this chapter attempts to test Wilkinson’s propositions that liberal states are more vulnerable to terrorism than any other political system by making a comparative study between democratic and non-democratic regimes to identify the recent trends of terrorism.