Thank you, Michael, and all our friends and colleagues here at the Wilson Center, for inviting me to open today’s conference on the future of the U.S.-Pakistan relationship. I’m particularly delighted to join Ambassador Khan today to talk about a relationship that has meant so much to us both throughout our careers.
On a personal level, Pakistan has shaped my entire diplomatic career, starting with my assignment to Lahore in 2001. For two years I covered political, security and economic issues – topics we are still talking about and working on today. Looking at all of the people gathered here today and joining us online, I don’t think my story is unique. For over 75 years, this relationship has been one of the most consequential for each other, for South Asia, and for the world.
Today’s topic is the future of U.S.- Pakistan relations. Before I peer into my crystal ball, let me first take stock of where we are with U.S.- Pakistan relations today.
Economy
Let’s start with the economy, where we have set the stage for increased trade, investment and cooperation.
We do over $9 billion annually in trade – that’s big business. And we are taking steps to increase that number. For example, we recently held the first Trade and Investment Framework Agreement council meeting in seven years. It was led by USTR, where Ambassador Tai gave a shout out to AmbassadorKhan’s mango diplomacy. In addition, Ambassador Blome announced a U.S.-Pakistan “Green Alliance” framework last year to promote environmental cooperation with Pakistan. And just last month, I traveled to Pakistan to participate in an Energy Security Dialogue and Climate and Environment Working Group, both vital touch points for deepening this alliance.
Security
Where are we now on security? The last year has helped reset our relationship. We held mid-level defense dialogues in Washington in February and a Counterterrorism Working group in Islamabad in March.
Since the U.S. withdrawal from Afghanistan in August 2021 we have been more aligned than ever with Pakistan on how to prevent Afghanistan from becoming a base for terrorism. Pakistanis have suffered at the hands of terrorists more than most nations – by some estimates tens of thousands have lost their lives.We are concerned that the number of attacks – particularly targeting
Pakistani security forces – has increased. Police have borne the brunt of these attacks.
Pakistan has much to gain from a peaceful and stable Afghanistan, and the United States and Pakistan have a shared interest in holding the Taliban to its counterterrorism commitments. Our two dialogues earlier this month focused on this very topic. So that gives you a sense of the U.S perspective on where our bilateral relationship is now.
People
Let’s talk about people, the heart of this relationship. Today, over 50,000 Americans live and work throughout Pakistan. And there are over 550,000 Pakistani-Americans living in the United States – that’s
roughly the number of Americans living in Baltimore. We engage with members of the diaspora community across the United States as often as possible and they are some of the most impressive people I’ve ever met. If you want to know just how strong our people-to-people relationship is, look at the Pakistan-U.S. Alumni Network, which brings together 39,000 alumni of U.S.-funded exchanges to help build a safer and prosperous Pakistan. Or look at the U.S.-Pakistan Women’s Council, a public-private partnership between the State Department and Texas A&M University that has transformed the lives of hundreds of thousands of women across Pakistan. One example of this is the Pakistan Million Women Mentors Initiative, which has connected 45,000 women in Pakistan to mentors over the past two years. This is people power! The private sector has a huge role to play in these connections as well. When I was in Lahore last month, I met a number of women entrepreneurs who were thriving – setting up businesses and consultancies. Several had big, ambitious dreams of going global with their brand. Many were examples of the ties between the US and
Pakistan – educated in one country, working in another and going smoothly back and forth. That’s the kind of potential I dream of when I think of the best of U.S.-Pakistan relations
Let me share a couple of interesting statistics with you. Almost half of Pakistan’s population is under the age of 22, and it’s projected that Pakistan could grow to become a top 10 economy by 2047. We know that these young people are the future of our relationship. That’s why we continue to invest in education: the U.S. government brings approximately 800 Pakistanis to the United States every year, and thousands more are studying in universities across the country. That is an investment in the future. In addition, organizations like The Citizens Foundation work tirelessly to support and operate over 1,800 schools in Pakistan, educating 280,000 students and employing over 13,000 teachers and principals. Their generosity is transformative to generations of young people across Pakistan.
Perhaps nowhere was the people-to-people connection stronger than how the United States responded to Pakistan’s flooding on an official and personal level. We were among the first to respond to Pakistan’s need, sending 17 U.S. military C-17s with 630 metric tons of humanitarian supplies. Administrator Power traveled to Pakistan to witness the devastation firsthand. We also deployed a Disaster Assistance Response Team to assess the damage, identify priority needs, and coordinate with humanitarian partners
All told, The United States government committed over $200 million in flood response assistance, including funding for ensuring food security in Pakistan.
Our efforts were bolstered by the extraordinary generosity of the Pakistani American community and the U.S. private sector, which together contributed over $37 million in essential goods and services such as food, water, medicine, and health care.
Our support for people affected by flooding continues. Just last month, we announced 500 new scholarships for Pakistani university students from flood-affected districts to assist them in completing their degrees. We remain committed to helping the Pakistani people.
Potential
Now, after emphasizing how people are the foundation of our relationship, if I can plant a second word with you all today, it’s potential. Extraordinary potential, on the economy, on trade, investment, on regional stability, on global challenges like the climate and heath.
A strong, prosperous, and democratic Pakistan is essential for the interests of both our countries and both our peoples. The best way to ensure that is through continued cooperation. The question on everyone’s mind is Pakistan’s immediate economic situation. We share concerns about the sustainability of Pakistan’s current economic path.
The reforms that Pakistan and the IMF agreed to are not easy. But it is crucial that Pakistan take these actions to bring the country back to asound financial footing, avoid falling further into debt, and grow Pakistan’s economy.
We will continue to support Pakistan through technical engagements and assistance, particularly when it comes to encouraging Pakistan to enact policies that promote an open, fair, and transparent business climate. Because if Pakistan can get over the hurdles to get on sound macroeconomic footing, there is extraordinary potential.
Future
So what does the future hold for the U.S./Pakistan relationship? Let me start with this. Pakistan is a sovereign country; it has made and always will make its own choices. It has a lot of partnerships. The
United States respects that. My work as a diplomat lies in demonstrating and convincing my Pakistani colleagues that choosing the United States and supporting our policies is Pakistan’s best interest. In particular, I see a real future in the areas of energy and climate, trade and investment, and cooperation on regional security.
Energy and Climate
On environmental issues, the U.S. is passionate about increasing renewables especially solar and decreasing Pakistan’s reliance on coal.
We’ve put our money behind this. In December, Ambassador Blome inaugurated a Mangla Dam rehabilitation project that will meet the power needs of over two million Pakistanis. It also improves the reliability of Mangla’s total generation capacity and ensures the Mangla
Power Station will stay productive for another 40 years. Pakistan is a willing partner on renewables and is aware that it not only should, but must, pursue energy transition for its economic and
environment al well-being. I had the opportunity to visit the Lahore University of Management Sciences Electric Vehicle Research and
Development Center; the U.S. government will provide the Center with half a million dollars to help roll out domestically produced EVs for the Pakistani market at a commercial scale.
We’re not just working together at the federal level; we are also working at the state and provincial level. Just last month, the U.S. funded the visit of a delegation of 16 Pakistani scientists to the United States as part of the Punjab-California Sister State agreement. They learned from California’s experience overcoming air pollution, and we look forward to continuing and deepening this supportive partnership.
Trade and Investment
If the first area of future cooperation is climate and energy, the second is trade and investment – but this comes with a big caveat. I mentioned our trade relationship. $ 9 billion. The U.S. is Pakistan’s biggest customer. We could be doing so much more. One major barrier to growth a porous regulatory environment that discourages investment. Pakistan must streamline the process of starting a business, protect and enforce intellectual property rights, and invest in human capital.
Without protection of ideas, businesses and individuals don’t reap the full benefits of their inventions and will focus less on research and development.
Regional Security
Finally, let me touch on the future of regional security. We both want a region where terrorists pose no threat and borders are respected. We are looking at how we can cooperation with Pakistan on counterterrorism, counter narcotics and anti-human trafficking. We are working together to ensure that Afghanistan is never again a base for terrorism. As I said at the start, we want to see a strong, prosperous, and democratic Pakistan. That’s the future .Conclusion:
We continue to view Pakistan as an important partner and I believe Pakistan views the United States in the same way. The people-to-people ties we’ve built over time help sustain the relationship through inevitable highs and lows. You are all contributing to that, so thank you for your support, and for coming here today to share your ideas and expertise.
Thanks again for hosting me today, and I look forward to continuing the discussion and taking your questions.
Washington D.C., April 27, 2023
