India's Diplomatic Play: Revisiting International Loans to Pakistan

India is urging global multilateral agencies like the IMF to reconsider financial aid to Pakistan following a terror attack in Pahalgam. The incident left 26 tourists dead, with identified attackers including Pakistani nationals. The IMF and ADB have significant funding arrangements with Pakistan at stake.

India is actively advocating for global multilateral agencies, such as the International Monetary Fund (IMF), to re-evaluate the funds and loans being extended to Pakistan. This move comes in the wake of a tragic terror attack in Pahalgam last month that claimed the lives of 26 tourists, prompting New Delhi to take diplomatic action.

A government source stated, "We will be asking all multilateral agencies to review the loans and support to Pakistan," in light of identified attackers, three of whom are Pakistani nationals. Defence Minister Rajnath Singh has branded Pakistan a rogue state, attributing it to the rise of global terrorism, while Home Minister Amit Shah assured that those responsible for the Pahalgam attack would face justice.

The IMF's Executive Board is set to meet with Pakistani officials on May 9 to discuss Pakistan's funding arrangements under an extended facility and climate resilience loan program totaling over USD 8 billion. Additionally, the Asian Development Bank and World Bank are considering substantial financial commitments to aid Pakistan amid its economic challenges.

(With inputs from agencies.)