WASHINGTON: The US State Department has communicated a clear message to Pakistan’s new leaders, emphasizing the importance of collaboration with the International Monetary Fund (IMF) and the implementation of economic reforms for stability. In response to questions, a State Department spokesperson highlighted the enduring partnership between the US and Pakistan, emphasizing the significance of a strong, prosperous, and democratic Pakistan for shared interests.
The spokesperson expressed support for Pakistan’s efforts to manage its debt burden and reduce reliance on international financing, urging continued collaboration with the IMF and other financial institutions for overdue macroeconomic reforms. On the issue of food security, the US is already working with Pakistani and humanitarian partners to ensure vital food assistance reaches those in need.
In terms of investment, the spokesperson mentioned that Americans invested $250 million in Pakistan in 2022, with more than $1.5 billion in investment plans announced since 2019. However, challenges in the business climate were acknowledged, with a call for economic reforms to attract more investors.
Regarding military assistance, the focus was on ongoing anti-terrorism cooperation, with a commitment to working with Pakistan against shared threats posed by terrorist groups. The State Department underscored its commitment to supporting Pakistan in addressing economic challenges, including high inflation and hardship, while emphasizing the need for structural reforms.
On water disputes between India and Pakistan, the spokesperson emphasized diplomatic solutions, leaving the pace and character of any dialogue to the countries involved. Regarding the Indus Waters Treaty, the US encouraged the resolution of issues under the treaty, recognizing its role.
Lastly, the spokesperson expressed the US government’s commitment to addressing food security as a top priority, highlighting a comprehensive approach through governmental and private sector contributions in Pakistan. The overall stance showcased a nuanced and cooperative approach to the US-Pakistan relationship, covering economic challenges, investor concerns, counterterrorism efforts, and regional diplomatic issues.
