WASHINGTON: The Trump administration has proposed $344 million in financial assistance to Pakistan+ including $100 million in foreign military funding, a massive $190 million reduction in grant+ as compared to the 2016 fiscal.
“Pakistan plays a key role in US counter-terrorism strategy, the peace process in Afghanistan, nuclear non-proliferation efforts, and stability and economic integration in South and Central Asia. It is also a large and growing economy offering profitability for US businesses,” the State Department said in its annual budget proposals sent to the US Congress.
In the maiden budget of the Trump administration, the State Department said that it will maintain a robust diplomatic presence that will enable continued bilateral cooperation on the many joint US-Pakistan interests, and bolster stability in this strategically important country.
The State Department has proposed $344 million in financial assistance and grant to Pakistan including $100 million in foreign military funding, which is used for sale of military hardware.
Last year, the US assistance to Pakistan under the State Department budget was $534 million, which included $225 million towards foreign military funding.
In all, the State Department has proposed a massive $190 million reduction in its financial assistance to Pakistan as compared with the 2016 fiscal. The current 2017 fiscal would end on September 30 this year.
In addition to State Department’s financial assistance, Pakistan also receives reimbursement from the Pentagon every year for its expenses towards US operations in Afghanistan.
However, after Afghanistan, Pakistan continues to be the second largest aid recipient of the US in South Asia.
For instance, the State Department has proposed a $200 million aid to support its long-term stability and broader security and stability in the region.