US To Provide $1 Bn Under Kerry-Lugar Aid Plan
At a time when bilateral ties between the US and Pakistan are at their lowest ebb, USAID's coordinator of economic and development assistance Richard Albright says Washington has committed $1 billion under the Kerry Lugar Law (KLL) for Pakistan for the ongoing financial year.
"Out of total committed amount of $1 billion, USAID will provide $500 million through an on-budget credit line while the remaining $500 million will be disbursed in shape of an off- budget credit line but with full knowledge of the Economic Affairs Division (EAD) where this money was going," Richard Albright said while talking to media after a ceremony to grant assistance to Pakistani researchers on various sectors of the economy.
When asked why the US did not take Islamabad into confidence about the details of spending related to off-budget utilisation of funds, Richard Albright said that they conducted weekly meetings with the EAD authorities and they were in full knowledge about where this money was being utilised.
Answering another query about the ongoing debate in the US about cutting Pakistan's aid by 50 percent, he said that these discussions were meant for the next financial year 2013, as the process of approving the next budget in the US might delay because of the coming elections.
Out of $1 billion, he said almost 85 percent would be disbursed for economic growth and social sector development while 15 percent would be utilised for improving efficiency and the training of civil law-enforcing agencies.
He said that consolidation of projects was a regular phenomenon and currently there were 50 to 60 projects funded through KLL money.