India Condemns Pakistan's Militarization of Aid Funds
Published on 6.6.25
India has expressed strong objections to Pakistan's increasing defense spending, citing concerns over the country's misuse of funds meant for economic growth. This criticism comes as Pakistan is set to serve as vice-chair of the United Nations' counter-terror panel, a move that India had opposed.
According to Indian officials, most World Bank and IMF assistance to Pakistan goes towards China for weapon purchases, allegedly used for terrorism rather than conventional war. A recent $800 million loan from the Asian Development Bank (ADB) was approved despite these concerns.
India had urged global lenders to pause future loan packages to Pakistan following a terrorist attack in Kashmir last month. However, the ADB proceeded with the package to strengthen Pakistan's fiscal health and improve public finances, which India believes is being used for military purposes rather than poverty alleviation.