U.S.-Pakistan Development Cooperation

A New Beginning

U.S. President Barack Obama

In his December 1, 2009 speech addressing the new U.S. policies toward Afghanistan and Pakistan, U.S. President Barack Obama defined his vision for a renewed U.S. - Pakistan partnership. In affirming America's commitment to this important relationship, the President stated:

"In the past, we too often defined our relationship with Pakistan narrowly. Those days are over. Moving forward, we are committed to a partnership with Pakistan that is built on a foundation of mutual interest, mutual respect, and mutual trust. ... America is also providing substantial resources to support Pakistan's democracy and development... We are the largest international supporter for those Pakistanis displaced by the fighting. And going forward, the Pakistani people must know America will remain a strong supporter of Pakistan's security and prosperity long after the guns have fallen silent, so that the great potential of its people can be unleashed."

Country Assistance Strategy

Following the President's speech, the Administration adopted a new USAID Country Assistance Strategy for Pakistan for the five year period 2010 - 2014 which seeks to build a broad and deep relationship with the Pakistani people and their government. It also aligns U.S. assistance more closely with Pakistan's development and investment priorities. The assistance strategy will strengthen the Government of Pakistan's capacity to effectively provide services to its citizens and end the appeal of extremist elements. Progress toward this goal will result in better delivery of basic services to the population in the near term, and enhanced sustainability of development efforts that Pakistan needs for long-term political stability. Assistance will also focus on immediate post-crisis and other humanitarian assistance needs, particularly in regions along the Afghanistan border significantly affected by military actions against extremists.

Overarching Principles

U.S. assistance programs will enable and support Pakistani leadership, from both the public and private sectors to address the country's urgent development needs. By supporting the talent and commitment of Pakistanis to create a stable, peaceful and prosperous country, U.S. assistance will have a greater and more sustainable impact over the long-term.

Priority Programs

Working in partnership with the Pakistan government, the U.S. is designing a number of high-impact projects in energy, agriculture, education, and health to help meet Pakistan's immediate and long-term development goals. These high-visibility projects will address some of the country's most critical development needs, and will demonstrate the U.S.'s steadfast commitment to Pakistan's development. These projects will be complemented by programs intended to strengthen the human, financial and institutional capacity to sustain these investments and enhance their long-term impact.

Assistance and Funding Mechanisms

In order to speed project implementation and ensure greater accountability and integrity in program implementation, the U.S. assistance program in Pakistan will increase its use of reimbursement agreements with the Pakistan government for infrastructure projects, as well as targeted financial transfers and budget support for government institutions. The U.S. will continue and expand its public private partnerships and direct contracts with Pakistani business and service providers, while expanding its long-standing partnership with Pakistani non-profit and non-governmental organizations. In partnership with Pakistan, the U.S. will ensure local implementers are cleared and authorized to manage civilian assistance funds.

Implementing the Vision

Steps are being taken to put the new assistance program in place quickly. The first two of many bilateral agreements, or Implementation Letters, have already been entered into to support reconstruction and rehabilitation efforts in South Waziristan and the Malakand division. In the interest of transparency, these bilateral agreements and Implementation Letters are being posted on this site. Several additional agreements are being finalized in the coming days and weeks and will also be available to the public on this site.