WASHINGTON, Feb 8: The bulk of the financial assistance sought for Pakistan by the Bush administration for the 2003 financial year is earmarked for budgetary and balance of payments support, amounting to $200 million of the total provision of $305 million.
In the ongoing financial year, the US had provided $600 million from its emergency response fund for similar budgetary support in view of the burden borne by Pakistan due to the coalition military campaign in Afghanistan.
The $305m proposal for 2003 includes $50 million for military financing — providing financing, usually on easy terms, for Pakistani purchases of military equipment as against military sales. All such concessional lending had remained frozen because of nuclear and democracy-related sanctions imposed on Pakistan till they were waived after the Sept 11 attacks.
Pakistan has been looking for spare parts for its US-made military equipment. The Pakistan Air Force’s needs have since reportedly been met, but other Pakistani requests are being considered on a case-by-case basis by United States authorities.
The breakdown of the Bush administration’s 2003 budget request for Pakistan is as follows: Development assistance and child survival and health programmes — $50m; economic support fund — $200m; international narcotics control and law enforcement — $4m; IMET — $1m; and foreign military financing — $50 million.
