While the quest for American aid in Pakistan continues, the United States has doused the hopes of Pakistan’s federal government to get money for various projects in the country. Instead, the US funds under the Kerry-Lugar program will go directly to projects run by specific ministries and non-governmental organizations (NGO), as stated clearly by Jacob J Lew, US Deputy Secretary for Management and Resources, at a State Department Briefing in Washington on Friday, September 12, 2009.

Mr. Lew made it clear it that despite the anxiousness on behalf of Pakistan’s government to channel the funds meant for the country’s uplift and relief, the US will prefer to pay specific projects by ministries and non-governmental bodies working in the country. News sources also reported direct negotiations between Washington and the provincial governments of Pakistan for providing aid to projects in specific areas. Almost immediately after Mr. Lew’s briefing, a group of MQM leaders is said to have flown to Washington to solicit aid for projects in Karachi.

This latest statement from Washington has dual implications for Pakistan. First, it shows the degree of distrust of the Obama administration in matters of paying cash to the centralized government in Pakistan. Since Washington is reportedly negotiating with the provincial governments, the distrust of the US seems related mainly to the PPP-led federal government. Secondly, the US seems to be at ease with their monitoring capability of the provincial-level channels of fund utilization. Another meaning, of course, is the concern of the US to cut the time, energy, and corruption involved in the flow of aid from a centralized government system to the end beneficiaries.