OCCUPIED SRINAGAR: Indian Defence Minister Rajnath Singh said Friday the International Monetary Fund (IMF) should reconsider $1 billion loan to Pakistan alleging it was “funding terror”, a move denounced by Islamabad as proof of New Delhi’s desperation.
India and Pakistan last week clashed in the worst military violence in decades.
The confrontations were sparked by an attack on tourists by gunmen in Indian Illegally Occupied Jammu and Kashmir (IIOJK) last month that New Delhi accused Islamabad of backing – a charge Pakistan has denied.
“I believe a big portion of the $1 billion coming from IMF will be used for funding terror infrastructure,” Singh told troops at an air force base in western India.
“I believe any economic assistance to Pakistan is nothing less than funding terror.”
Despite India’s objections, the IMF’s Executive Board last week approved a loan programme review for Pakistan, unlocking a $1 billion payment which the State Bank of Pakistan has already received.
A fresh $1.4 billion loan was also approved under the IMF’s climate resilience fund.
India – which also represents Bhutan, Sri Lanka, and Bangladesh on the IMF board – abstained from the review vote with a statement from its Finance Ministry stating, “concerns over the efficacy of IMF programmes in case of Pakistan given its poor track record”.
Federal Budget: Aurangzeb holds virtual consultations with IMF
“India was the lone country which tried to stop it and it failed. It again reflects Indian frustration. Trying to criticise an institution like IMF speaks about this desperation,” Pakistan’s Foreign Ministry spokesman Shafqat Ali Khan told reporters.
Comments
Comments are closed for this article.