U.S. to suspend aid to Pakistan, resulting in the halt of multiple projects.

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The United States has initiated a temporary suspension of foreign aid to Pakistan for the purpose of reassessment, as reported by Geo News, referencing a source from the US Consulate in Karachi. This action, which follows an executive order from President Donald Trump, has resulted in the cessation of numerous initiatives across various sectors, including health, agriculture, and education. Tammy Bruce, a representative of the US Department of State, has verified the halt in assistance, indicating that it aligns with President Trump’s Executive Order aimed at reevaluating and realigning US foreign aid. Secretary Rubio has consequently suspended all foreign assistance funded by or through the State Department and USAID pending a thorough review. The suspension has notably impacted several key projects, including the Ambassadors Fund for Cultural Preservation (AFCP), which is dedicated to the preservation of cultural heritage. Additionally, various energy sector initiatives have been affected, such as the Power Sector Improvement Activity and the Pakistan Climate Financing Activity. Economic development projects, including the Social Protection Activity and the Investment Promotion Activity, have also been put on hold. However, the USD 24.8 million FATA Economic Revitalization Program, executed by the United Nations Development Programme, was completed before the suspension took effect.

In the agricultural domain, while certain projects like the Gomal Zam Command Area Development Project, set to conclude in 2024, remain unaffected, ongoing initiatives such as the Water Management for Enhanced Productivity and Livelihood and the Food Security Activity for Khyber Pakhtunkhwa and flood-impacted areas are now on pause. The suspension has had significant repercussions on democracy, human rights, and governance initiatives. Among the 11 affected programs, four were scheduled to conclude in 2025. A project aimed at enhancing Electoral and Legislative Processes, which received funding of USD 19.1 million, was finalized in 2024. Other programs that have been impacted include initiatives focused on Building Peace in Pakistan, Land Registration in Merged Areas, and Water Governance for Sindh. In the realm of education, several projects, including those aimed at Improving Girls Education, Strengthening the Higher Education System, and Enhancing Education Resilience, have been put on hold. Likewise, health-related initiatives such as Integrated Health Systems Strengthening and Service Delivery, the Tuberculosis Local Organisation Network, and the Global Health Security Program are currently suspended. The White House has indicated that this pause, lasting 90 days, is intended to facilitate a comprehensive review of all foreign development assistance programs. The Office of Management and Budget (OMB) will manage this review process to ensure that the programs are efficient and consistent with U.S. foreign policy objectives.