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  1. Bad days ahead for Pakistan? Donald Trump proposes to convert military aid to Islamabad into loans

Bad days ahead for Pakistan? Donald Trump proposes to convert military aid to Islamabad into loans

If the US President Donald Trump has his way, the military aid his country provides to Pakistan could be converted into a loan

By: | Updated: May 23, 2017 4:51 PM
donald trump, us aid to pakistan, us military aid to pakistan, trump pakistan, nawaz sharif, trump on pakistan, pakistan terrorism A still image taken from video shows Yad Vashem Chairman Avner Shalev presenting to U.S. President Donald Trump and first lady Melania a token of remembrance, an exact replica of the original Holocaust-era personal album that belonged to Ester Goldstein, who perished in the Holocaust, at Yad Vashem Holocaust memorial in Jerusalem May 23, 2017. (Reuters)

If the US President Donald Trump has his way, the military aid his country provides to Pakistan could be converted into a loan. According to a PTI report, Trump has made this proposal in his annual budget to the Congress. He plans to convert the US grants to Pakistan for the purchase of military hardware into a loan.

The report says that final decision in the matter would be taken by the US State Department.

US Director of Office of Management of Budget in White House, Mick Mulvaney, said the Trump administration proposal includes converting Foreign Military Funding (FMF) programme to many countries including Pakistan from aid to financial loan. “The Foreign Military Funding or FMF for Pakistan may be provided in the form of a loan,” PTI quoted Mulvaney as saying.

Mulvaney, however, added that the proposal itself doesn’t mean that it would certainly come into effect. This means the US may revert to the original financial grant to Pakistan to sell military hardware if there is a need.

According to the report, the State Department would have the option to decide on whether to provide funding through grants, or as a subsidy for a guaranteed loan.

The proposal is seen as Trump administration’s efforts to cut foreign aid budgets to boost US military spending. According to Mulvaney, the US may continue to provide aid to countries like Israel and Egypt.

According to a report by international think-tank Center for Global Development, US started providing economic assistance and military aid to Pakistan soon after the creation of the country in 1947. It says that the US provided around $67 billion (as per 2011 prices) to Pakistan between 1951 and 2011.

In 2015, total foreign military finance from the US to Pakistan was $2.8 lakh thousand, according to the US Department of State. In years preceding 2015, US had provided $2.8 lakh thousand in 2014, $2.8L thousand in 2013, and $2.95 lakh thousand in 2012.

Pakistan’s failure to stop sponsoring terrorism directed against India has brought global ridicule to Islamabad. On Sunday, Pakistan Prime Minister Nawaz Sharif faced humiliation at Riyadh anti-terror summit attended by Trump and the Saudi King. Sharif, who was representing the sole Muslim nuclear-powered country, was not allowed to put forward his viewpoints, even as leaders of many small states got the opportunity to speak.

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  1. S
    S Dhar
    May 23, 2017 at 5:31 pm
    There was a time when US Citizens rebelled against compulsory conscription for continuing the policy on the west coast of Pacific. So Citizens were replaced with their money, in pursuit of policies; giving a sense of victory to both sides i.e the Citizens as well as the governments. It is time for the citizens to rebel again, against the free disbursal of their money to countries who support use of terrorism as an instrument of state policy.
    1. N
      Narendra M Apte
      May 23, 2017 at 5:17 pm
      1. News report saying that US President Mr. Donald Trump has proposed to US Congress to convert the US grants to stan for the purchase of military hardware into a loan conveys good news for India. But that happening is only a possibility and we should wait. 2. Mr Donald Trump could be well aware of the fact that stan is a supporter of terrorist camps in its own territory and in stan-occupied Kashmir. stan claims to be a victim of terrorism but it conveniently overlooks the fact that its intelligence agency ISI is directly involved in providing all kinds of istance to terror outfits like JeM and JeT. 3. It is worth noting here that all these years though USA has provided military and financial istance to stan, it has never supported stan in its attempts to wrest Kashmir from India. 4. Would stan learn a lesson from snub it received a few days back by it being ignored by Mr. Trump Arab Islamic American Summit held in Saudi Arabia over the week end?

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