The US military just announced that they will not be granting Pakistan $300 million in CSF funds- money that reimburses for partnering with the US military- because they have not fulfilled actions to remove insurgents from the capital city of Islamabad. The city has been a safe haven for Taliban-linked insurgents to plot attacks, although this is denied by Pakistan. This is not the first time that the US has held CSF funds from Pakistan. Earlier this year, $500 million more was withheld, totaling to $800 million. This puts the pressure on Pakistan, which is struggling economically and may need a loan from the IMF or from an ally country. As the US owns the majority of the IMF, this may mean that they would not be granted a loan. Although the Prime Minister of Pakistan, Imran Khan, opposes US involvement in Afghanistan and has previously threatened to shoot down US drones in Pakistan, he has also said that he wants a “mutually beneficial” relationship with the US. If Pakistan “changes its behavior”, they may be able to still recieve a loan or receive eligibility again next year.
I think this article is a perfect example of reciprocal relationship between the US and Pakistan. The US is promising Pakistan funds if they increase security and remove insurgents from Islamabad. However, since Pakistan is not “holding up their end of the deal”, the loan has been suspended. Due to the US’s interests in stopping terrorism and Pakistan’s interests in restarting their economy, this would be a mutually beneficial solution if it works out. In my opinion, I’m not sure why Pakistan isn’t following through on their end of this deal. Why would they want terrorist groups in their capital city, where there are so many civilians? This would also solve future economic problems or a potential refusal from the IMF. I also think that there are some red flags considering the fact that just earlier this year we had to suspend $500 million more in funds to Pakistan, yet we have already given them $14 billion in just CSF loans since 2002. Hopefully, Pakistan removes the insurgents and we can have this “mutually beneficial” relationship.