Monday, Jan 10, 2005
Japan to resume aid to Pakistan
By B. Muralidhar Reddy
ISLAMABAD, JAN. 9. Japan has decided on a conditional basis to resume $500-million annual assistance to Pakistan under the Yen Loan Package and Official Development Assistance (ODA) from March.
An announcement on the decision to resume the programme was made after separate meetings of the visiting Minister for Economy, Trade and Industry, Japan, Shoichi Nakagawa with the President, Pervez Musharraf, the Prime Minister, Shaukat Aziz, and the Commerce Minister, Hamayun Akhtar Khan, here.
The resumption of the loan package and the ODA grant will end the economic sanctions imposed by Japan in the wake of May 1998 nuclear tests. Tokyo had begun relaxing trade and economic sanctions against Pakistan after the later joined the international coalition against terrorism post 9/11.
Addressing a news conference, officials of the Japanese delegation said the Yen Loan Package would be provided to Pakistan for individual projects. The loan would be released only for projects, which met all the "conditions" set by Japan.
The conditions as spelt out Japan include nuclear non-proliferation, peace, Pakistan's commitment to fight against extremism and modification of various regulations by it in view of the opening up of its various sectors to foreign investment.
About Mr. Nakagawa's meeting with Gen. Musharraf, they maintained that the President was informed about the recent "kidnapping" of some Japanese by North Korea as well as Japan's sensitivity towards the perceived nuclear proliferation to North Korea from Pakistan.
They quoted Gen. Musharraf as telling the Minister that he had understood Japan's apprehensions and assured that there would be no such deal, which could lead to proliferation of Weapons of Mass Destruction (WMD) to North Korea.
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