ISLAMABAD, April 3: Senior US diplomat Thomas Nides is expected to arrive here on Wednesday for continuing talks on reengagement as parliament struggles to firm up new terms for bilateral cooperation.

Mr Nides, who is Deputy Secretary of State for management and resources and Secretary Hillary Clinton’s alter ego, during his meetings with President Asif Zardari, Prime Minister Yousuf Raza Gilani, Foreign Minister Hina Rabbani Khar and Finance Minister Hafeez Sheikh would primarily focus on financial aspect of the relationship, including aid under the Kerry-Lugar Act and Coalition Support Fund reimbursements.

He is, however, also expected to touch upon some of the more contentious political and security matters.

Mr Nides’ trip would be the second high-profile visit by a US functionary after Centcom commander Gen James Mattis and Isaf chief Gen John Allen’s meetings with military leaders in Rawalpindi.

These meetings follow Prime Minister Gilani’s talks with President Barack Obama in Seoul and President Zardari’s discussions with Special Representative for Afghanistan and Pakistan Ambassador Marc Grossman in Dushanbe.

As the two distinct tracks of reengagement and review continue side by side, the government’s worst fear is about resumption of Nato supply route being linked by legislators with cessation of drone attacks, one of the main recommendations of the Parliamentary Committee on National Security.

Opposition parties in parliament seem to be inclined to linking the two issues.

The various options being discussed include reopening only after US gives assurances about discontinuing the drone war; and/or announcing the resumption of routes with the condition that they would be unilaterally closed in the event of another predator strike.

Anwar Iqbal adds from Washington: The State Department said on Tuesday that Mr Nides would discuss a “full range of issues” in Islamabad.

The visit is part of a concerted effort to “build on our recent high-level engagement with the Pakistani government as its parliamentary review approaches a conclusion,” it said.

At a regular briefing in Washington, State Department spokesperson Victoria Nuland was asked if Mr Nides would also discuss with Pakistani authorities a $10 million bounty the department announced on Monday for information leading to the conviction of Jamaatud Dawa chief Hafiz Mohammad Saeed.

“Well, the full range of issues related to international terrorism, terrorist threats in Pakistan, internationally, is obviously one of the subjects that Deputy Secretary Nides will be talking about,” she replied.