Since the targeted raid that killed Osama Bin Laden, a growing number of people in the US have been calling for a freeze on all financial aid for Pakistan. In this interview, Christian Wagner, an expert on South Asian affairs, speaks of the dangers of taking such a step
There is no doubt that the US gives more money to Pakistan than any other country in the world. What would happen to Pakistan if the flow of billions of US dollars were to dry up?
Christian Wagner: The country would quite simply go bankrupt. This would have a disastrous effect on domestic stability. It cannot be in the interests of the US to contribute to Pakistan’s economic downfall and bankruptcy. As a result of a number of factors including the flood and years of domestic political instability, the country is now in the middle of a major economic crisis. Pakistan urgently relies on international cooperation, and most particularly on its cooperation with the US.
From 11 September 2001 to the present day, Pakistan has received approximately US$13 billion in military aid and over US$6 billion in economic aid; several billion more are expected to follow. Who actually controls the flow of money in Pakistan?
Categories: Pakistan