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‘Will spend a large portion on terror infrastructure’: Rajnath Singh calls on IMF to reconsider loan to Pakistan

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'Will spend a large portion on terror infrastructure': Rajnath Singh calls on  IMF to reconsider loan to Pakistan
Rajnath Singh at Bhuj airbase

NEW DELHI: Defence Minister Rajnath Singh on Friday urged the International Monetary Fund (IMF) to reconsider its recent loan approval to Pakistan, expressing serious concern that a significant portion of the funds could be diverted towards financing terror infrastructure.The IMF recently approved a loan exceeding $1 billion to Pakistan under its Extended Fund Facility (EFF), sparking objections from India. Speaking at the Bhuj Air Force Station, Singh stated, “I believe Pakistan will spend a large portion of the funds received from the International Monetary Fund on terror infrastructure. India wants the IMF to reconsider funding to Pakistan.”Singh further noted that countering terrorism has transcended traditional security concerns and is now a core component of India’s National Defence Doctrine. “Now, the fight against terrorism is not just a matter of security, but it is now also a part of the National Defence Doctrine. Together we will uproot this proxy and hybrid warfare. As the Defence Minister, I would like to reiterate this resolve,” he said.India had previously also raised strong reservations during the IMF Executive Board meeting on the financial assistance to Pakistan, choosing to abstain during the voting process. It cited Pakistan’s history of poor compliance with IMF programme conditions and its repeated requests for assistance, questioning the efficacy of continued financial support.India also expressed concerns that Pakistan might divert the funds towards cross-border terrorism through state channels. The review of Pakistan’s EFF programme (worth over $1 billion) and the Resilience and Sustainability Facility (RSF) programme (worth $1.3 billion) prompted India to highlight Pakistan’s historical misuse of external financing.A key concern raised was the prominent role of Pakistan’s military in its economic affairs. India asserted that despite a nominal civilian administration, the military wields substantial control over both political and economic domains, complicating efforts at structural reform.A United Nations report from 2021 had identified military-affiliated businesses as Pakistan’s ‘largest conglomerate.’ India argued that this influence has only intensified, noting the military’s central role in Pakistan’s Special Investment Facilitation Council.





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