Testimony on the Foreign assistance programs in South Asia before the Senate Committee on ForeignRelations by the Assistant Secretary for South Asian Affairs Washington, DC March 26, 2003
Regional Policy Priorities
Even as we advance our efforts in the Middle East, South Asia remains at the front lines of the war on terror,and regional stability remains critical. We must remain actively and effectively engaged in this region whereour most vital interests are at stake. U.S. support has contributed to substantial progress over the past yearand a half. Eighteen months ago, we could not have foreseen that Afghanistan would convoke a representativeLoya Jirga, select a transitional government to preside over reconstruction, and draft a constitution.Afghanistan must shortly begin preparations for national elections in June 2004. Pakistan's effective supportfor Operation Enduring Freedom has been equally welcome. Pakistan's October 2002 elections re-established acivilian government, and we are providing assistance towards a full return to democracy there.
We have experienced the close cooperation of all the countries in the region in the war against terror, andwere able to play a helpful role last spring and summer to defuse a dangerous crisis between India andPakistan that could have led to a catastrophic conflict, and we are redoubling our efforts to reduce tensionsin Kashmir. Regional stability has been served by Sri Lanka's progress towards ending a 20-year civilconflict. However, we must assist Sri Lanka to achieve and consolidate peace, and Nepal to avoid resumption ofa Maoist insurgency and to shore up its fragile democracy. With an eye to the future, we will continue totransform our relationship with India, a rising global power, and will help the moderate Muslim democracy ofBangladesh, which faces difficult political divisions and significant economic challenges, towards greaterstability and economic growth.
Assisting South Asia's Frontline States: Afghanistan and Pakistan
As we move into FY 2004 and beyond, helping Afghanistan to establish lasting peace and stability will requirea continued commitment of U.S. and donor resources to four interlocking objectives, consistent with the goalsof the Afghanistan Freedom Support Act.
-- Afghanistan must establish internal and external security, without which economic reconstruction andpolitical stability will fail. President Bush committed the United States to take the lead among donors inhelping to establish a multi-ethnic and disciplined Afghan military. Our security assistance will enable us totrain and help retain troops and officers. This program has made significant strides in the last few months.Thanks to the Afghanistan Freedom Support Act, we were able to provide $150 million under DoD drawdownauthority towards a gap in funding those efforts. With similar FY 2004 levels of U.S. funding from all oursecurity accounts, including drawdown authority, we will be able to meet our goal to help establish a strongCentral Corps before the 2004 elections. Although we must rely to some degree on local leaders and theirmilitia to provide interim security and stability in many parts of the country, we are working with PresidentKarzai to draw the center and the regions together. We must therefore link recruitment efforts to the broaderprocess of Disarmament, Demobilization and Reintegration (DDR) of Afghan fighters. We are also helping theAfghan government to combat narcotics trafficking, fortify counterterror and non-proliferation export controlcapabilities, and train police in coordination with European and other donors.
-- A stable and effective central government is being established according to the roadmap accepted at Bonn inDecember 2001. A Constitutional Loya Jirga is scheduled for October of this year followed by nationalelections scheduled for June 2004. We will assist those processes, as well as assistance to the women'sministry, judicial rehabilitation, human rights, civic education and independent media development. We areproviding budget assistance to help keep the government operative while helping Afghans establish revenuegeneration, while other programs support development of an accountable, broad-based, and representativepolitical system. We are striving to ensure visible signs of progress by the Central Government on keyreconstruction needs, such as the completion of the Kabul to Kandahar road segment prior to the June 2004elections. In order to enhance the Afghan Transtional Authority and better link central and local government,Provincial Reconstruct Teams (PRTs) have been established in three locations with more to follow in latespring. Initial indications of PRT success point to increased stability and
enhanced NGO reconstruction efforts.
-- Economic reconstruction and development will bolster the Bonn process and reduce dependence on donors. InJanuary of 2002 at Tokyo, 60 countries, the EU, the World Bank, and the Asian and Islamic Development Bankspledged over $4.5 billion over six years. At the Afghanistan high- level strategic forum in Brussels in March2003, the international donor community reaffirmed its commitment to Afghanistan and pledged $1.5 billion forreconstruction and recurrent budget
assistance in 2003. In addition to pledging over $297 million at Tokyo and $600 million at Brussels, theUnited States has assisted Afghanistan to access frozen assets and begun initiatives in the areas of trade,commerce and finance. USAID development programs focus on private enterprise and employment and agriculture --the livelihood of most Afghans - as well as health and education. Economic Support Funds will also continue tosupport infrastructure rehabilitation, including the Kabul-Kandahar-Herat ring road.
-- Humanitarian needs will also continue as reconstruction proceeds. We continue to support the remainingAfghan refugees in Pakistan and Iran, internally displaced persons (IDPs) and returnees. U.S. deminingassistance as part of a larger donor effort will enable the return of refugees and displaced, and will supporteconomic reconstruction.
Mr. Chairman, U.S. relations with Pakistan have broadened significantly over the past 18 months. Starting withour solid partnership in the war on terror and our cooperation in Operation Enduring Freedom, we have expandedthe relationship and have reestablished a USAID program, providing assistance in the areas of education,democracy, economic development and health. We have expanded our cooperation in law enforcement and we havebegun restoring our military ties. In the coming years we will strengthen our programs of bilateralcooperation in order to deal successfully with issues of key interest to both our nations, including:counterterrorism, Pakistan's relations with its neighbors, regional stability, strengthening Pakistan'sdemocracy, helping to promote economic development, and improving life for the people of Pakistan to help thisnation continue moving in a positive direction.
U.S.-Pakistan cooperation in the war on terror takes place on several fronts, including coordination ofintelligence and law enforcement agencies in hunting Al-Qaida and other terrorists within Pakistan,coordination with military and law enforcement agencies along the border with Afghanistan and efforts tostrengthen Pakistan' s law enforcement and counterterrorism capabilities and institutions. We continue to workclosely with the government on counternarcotics and have more than a decade of successful collaboration withthe Pakistani government, including in the tribal areas near the Afghan border. Since the fall of 2001,Pakistan has apprehended close to 500 suspected al-Qaida operatives and affiliates. It has committed its ownsecurity forces -- some of whom have lost their lives -- to pursue al-Qaida in its border areas. Just asimportantly, we are encouraging Pakistan to build positive, mutually constructive relations with neighboringAfghanistan and support its efforts to establish a stable and secure government. We are also assistingPakistan to strengthen non-proliferation export controls.
Pakistan's commitment to democracy and human rights will be central to building a stable, positive future forits people. National elections in October, although flawed, restored civilian government, including a PrimeMinister and a National Assembly, after a three-year hiatus. We want to see accountable democraticinstitutions and practices, including a National Assembly that plays a vigorous and positive role ingovernance and an independent judiciary that promotes the rule of law. We will support development of theindependent media and effective civil society advocates. These institutions are required if Pakistan is todevelop into a stable, moderate Islamic state.
Pakistan's progress toward political moderation and economic modernization will require sustained economicgrowth. The U.S. Government engages in a bilateral economic dialogue with Pakistan to encourage sound economicpolicies. We are providing debt relief and budgetary support, and are devoting significant resources to assistPakistan's economic development, particularly in the areas of education as well as health, so that Pakistaniscan develop the skills they will need to build a modern democratic state that can compete successfully in theglobal economy.
Promoting Regional Stability: Indo-Pak Tensions, Sri Lanka and Nepal
We are redoubling our efforts to resolve and prevent conflict throughout South Asia in order to avoidinstability favorable to terrorist movements seeking to relocate or expand operations in the region. Stabilitywill also assist continued economic and political progress.
We were deeply shocked and disturbed by Sunday's terrorist attack south of Srinagar, which killed 24 innocentcivilians, including two young children. This cowardly act appears aimed at disrupting the Jammu and Kashmirstate government's bold efforts to restore peace and religious harmony to this troubled state. Although theU.S. has no preferred solutions for Kashmir; one thing we do know is that violence will not provide a wayforward, and should cease immediately. The Kashmiri people have demonstrated a desire to move forward with apeaceful, political solution, and their efforts should be supported by all sides.
Avoiding conflict between Pakistan and India is perhaps the most daunting U.S. challenge in South Asia. Wehelped to successfully walk India and Pakistan back from the brink of war last year. However, continuedterrorism like Sunday's attack threaten to provoke yet another crisis in the coming months. We look toPakistan to do everything in its power to prevent extremist groups operating from its soil from crossing theLine of Control. Pakistan has taken steps to curb infiltration but we are asking the government to redoubleits efforts. At the same time, we will use our good offices to continue to press both sides to take confidencebuilding steps that will lead to a process of engagement addressing all issues that divide them, includingKashmir.
We were encouraged by the results of last fall's state elections in Kashmir and view them as the first step ina broader process that can promote peace. The new state government has adopted a 31-point common minimumprogram aimed at promoting dialogue, reconciliation, human rights, and economic development in Kashmir.Resources required for this effort are primarily diplomatic. We are also examining ways in which modest U.S.assistance might bolster some of these positive developments and help build up constituencies for peace.
Through a Norwegian- facilitated peace process, the Sri Lankan government elected in December 2001 movedrapidly towards peace negotiations with the separatist Tamil Tiger guerillas -- designated a Foreign TerroristOrganization in 1997. Five rounds of talks have followed the initial round that began in September 2002, andthe talks have made significant progress, although complex issues remain that will require time and skillfuldiplomacy to resolve. Several U.S. agencies, including Treasury, Commerce, and DoD, sent assessment teams toSri Lanka last year to examine how we can most effectively use our bilateral assistance and engagement insupport of the peace process. As a result, we are providing demining support, and we plan to establishnew programs to strengthen Sri Lanka's peacekeeping capability and reform its military institutions. Oureconomic assistance and development programs will facilitate post war reconstruction, economic recovery, andpolitical and social reconciliation and reintegration.
In Nepal, a recent cease- fire and agreement on a code of conduct have raised hopes of progress with theMaoists. We believe the parties have come this far only because the Royal Nepal Army was able to make aneffective stand - a goal which U.S. security assistance aims to bolster. In coordination with Great Britain,India and other partners, our security assistance will provide direly needed small arms, equipment andtraining to enable the RNA to counter the Maoist military threat. If a political settlement has been reached,the United States should be in the forefront of donors prepared to help Nepal conduct local and nationalelections and strengthen administrative and democratic institutions. In the near term, we will continue tosupport improved governance and respect for basic human rights, improved health services and rurallivelihoods, and sustainable development. Our assistance will also support efforts to bolster governmentcontrol in areas vulnerable to Maoist influence by funding high- impact rural infrastructure and employmentprojects.
Transforming the U.S.-India Relationship
Shared interests and values link the United States and India, the world's two largest democracies. We aredeepening our partnership and are providing assistance on issues ranging from regional stability,non-proliferation and combating terror, to science and technology, economic reform, human rights and globalissues. We are expanding our security cooperation through a bilateral Defense Planning Group, joint exercisesand military exchanges. U.S. security assistance aims to promote cooperation and interoperability, and we arehelping to upgrade India's export-control system to meet international non-proliferation standards.
As we continue an expanded economic dialogue with India, U.S. economic and development programs aim to assistthe completion of fiscal, trade and other reforms that will promote economic stability and by extension,reduce poverty. Our programs will also enable vulnerable groups to have better and quicker access to justice,and will address human rights concerns. Our health programs aim to increase the use of reproductive healthservices, prevent HIV/AIDS and other diseases, promote child survival, and improve access to and availabilityof TB treatment. A number of these services are delivered in conjunction with NGOs and the GOI using theplatform of our food assistance, which we expect will continue, although with some degree of modification.
Supporting a Moderate Bangladesh
Bangladesh provides a model of a strong, stable democracy. It is in the interest of the United States to helpBangladesh's economy prosper. A valued partner in the war on terror as well as a moderate voice in regionaland international fora, Bangladesh is the eighth most populous country in the world and the top manpowercontributor to UN peacekeeping missions. Bangladesh has made marked progress on economic development, healthand women's rights. However, political rivalries and corruption threaten political stability and impedeeconomic growth, while law and order problems must be addressed. U.S. assistance programs in Bangladesh aim toincrease the accountability and effectiveness of Bangladesh's democratic institutions and to promote humanrights. Our programs also seek to improve basic education and provide high impact economic assistance andtarget improved health services for Bangladesh's women and children.
The Maldives and Bhutan
The Maldives, a small Muslim country of 280,000 persons, has served as a moderate voice in international fora,including in the Organization of Islamic Countries. Absent a U.S. mission in the Maldives, engagementcontinues through regular diplomatic exchanges managed by the U.S. Embassy in Sri Lanka, through ourInternational Military Education and Training program, and through South Asia regional programs.
We have a cordial but modest relationship with Bhutan. We welcome efforts by the King to modernize the nationand to build a constitutional democracy. We continue to urge Bhutan and Nepal to resolve the long-standingplight of 100,000 refugees in Nepal. Bhutan needs to accept back those persons who have a legitimate claim to
citizenship.
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The South Asia bureau's public diplomacy efforts support the preceding policy goals.
