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Saturday, May 29, 2010

Kerry pushes for tougher controls on Pakistan assistance

* Senator warns 5-year effort could collapse if aid is squandered or stolen
* Fears Pakistani organisations may not be ready to effectively spend so much money

Daily Times Monitor

LAHORE: Senator John F Kerry is urging the US State Department to tighten controls over $1.45 billion in aid to Pakistan this year, warning that if the money is squandered or stolen, a massive five-year effort to help Pakistanis could collapse.

“Among the Pakistani population there is already a fear that the funds will merely enrich the corrupt elite,” the Massachusetts Democrat wrote in a May 25 letter obtained by The Boston Globe. “Channelling so much of the money through untested institutions so quickly could serve to confirm these suspicions.”

The aid is part of a landmark, five-year $7.5 billion assistance package to Pakistan that Kerry pushed through Congress last year. It is aimed at trying to roll back extremism by improving the lives of ordinary citizens through greater access to water, energy, education, and healthcare, as well as bolstering Pakistan’s government.

But the letter is a sign of unease among some on Capitol Hill over the administration’s plans for the money.

Richard Holbrooke, the special representative for Afghanistan and Pakistan, intends to funnel more than 50 percent of the funds directly through Pakistan’s government or NGOs, bypassing the American organisations and companies that the US government usually hires to deliver aid abroad. Holbrooke has said US entities have higher overhead costs and relying on them creates the perception that US aid benefits Americans, rather than the intended recipients.

Not ready yet: But Kerry, who has oversight responsibilities over the funds, fears that Pakistani organisations might not yet be ready to effectively spend so much money and that corruption in the country will make accountability a challenge.

“The danger is much greater than merely the possibility of a portion of funds being poorly spent,” he wrote to Holbrooke. Referring to the aid bill that bears his name, he wrote, “lf significant portions of the Kerry-Lugar-Berman funds are siphoned off to private bank accounts, political support for continued appropriation of the money could evaporate in Washington and Pakistan.”

Holbrooke’s office said it is seeking the best way to provide the most benefit. “We’re always open to ways to operate in a manner that enhances sustainability, transparency, and accountability,” Holbrooke’s deputy said.

Kerry’s office declined to comment on the letter, but a spokesman said the senator “wants to work cooperatively with the administration to think through the potential pitfalls”.

Courtesy www.dailytimes.com.pk

 

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