Pakistan gets a fraction of $5.1 billion aid

ISLAMABAD: Donor countries had pledged financial assistance worth $5.1billion for Pakistan at the much-publicised donors’ conference held in Tokyo last year. But Islamabad has received only a fraction of the pledged amount despite the lapse of 15 months.

The revelation has been made in an official document, a copy of which is available with the Daily Express.

According to official figures, Pakistan has so far received $90.2 million from donor countries. Of which, $70.1 million were paid directly to the government, while $2 million were provided through non-governmental organisations (NGOs).

Official sources told Daily Express that strings attached to the aid pledges from some of the donor countries, such as high interest rate, are too difficult for Islamabad to meet. However, all donor countries are repeatedly reminded to fulfil their pledges, the sources added.

The donors’ conference was organised by the World Bank in the Japanese capital on April 17, 2009. And attendees included President Asif Ali Zardari and some key world leaders. The participants had announced a whopping $5.1 billion aid package for Pakistan.

However, most countries have not fulfilled their pledges despite repeated reminders from the economic affairs division.

The official document shows that Iran had pledged $330 million, but not a single penny has been released so far. On the other hand, Turkey, which had promised $100 million, has provided only $10 million.

Though South Korea has promised $200 million in aid to Pakistan, it hasn’t released even a single penny so far. Similarly, $300 million pledge from the United Arab Emirates has not been materialised.

The European Union has so far released $24.70 million, while it had promised $123.6 million at the Tokyo conference. The United States had pledged $1 billion to Pakistan. Of which $174 million were disbursed through the government and $123 million were channelled through NGOs.   Japan had also promised $1 billion, but so far only $141 million have been channelled through the government of Pakistan.

The World Bank, the organiser of the Tokyo conference, has also not provided a single penny, though it had promised $300 million in aid to Pakistan. The Islamic Development Bank has provided only $25.9 million against its pledge of $250 million. The Asian Development Bank has so far provided only $50 million against $300 million it had promised.

Published in The Express Tribune, July 26^th, 2010.