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Pakistan denies secret arms deal with US amid IMF bailout controversy

EditorRachael Rajan
Published 19/09/2023, 05:22 am

On Monday, the Foreign Office of Pakistan rejected a media report alleging that the country had sold weapons to Ukraine as part of a controversial deal to secure an International Monetary Fund (IMF) bailout package. The report, published by The Intercept, claimed that Pakistan had engaged in secret arms sales to the United States, with the intention of supplying the Ukrainian military and thus implicating Pakistan in the Russia-Ukraine conflict.

The Intercept's allegations were backed by two sources familiar with the arrangement and internal documents from both Pakistani and American governments. However, FO Spokesperson Mumtaz Zahra Baloch dismissed the story as "baseless and fabricated," affirming that Pakistan maintains a policy of strict neutrality in the Ukraine-Russia dispute. She emphasized that "Pakistan’s defence exports are always accompanied with strict end user requirements."

Earlier on Monday, leaked documents suggested that a covert arms deal with the United States had helped Pakistan secure its $3 billion loan from the IMF amidst its ongoing economic crisis. The documents reportedly reveal a secret meeting between Pakistani Military and US State Department officials, which led to the ousting of former Prime Minister Imran Khan due to his neutral stance on the Russia-Ukraine war.

The Intercept reported that Pakistan agreed to the secret arms deal with the United States to assist Ukraine in its conflict with Russia. As a result, Pakistan was able to secure its IMF bailout. The funds generated from this weapons sale purportedly helped Islamabad meet certain targets related to its debt and foreign investment, prerequisites for securing an IMF loan.

The Intercept also suggested that Global Military Products, a subsidiary of Global Ordinance linked back to the United States, brokered this weapons deal. The weapons were reportedly provided from summer 2022 until spring 2023.

Despite these allegations, both Pakistan and the United States have yet to comment on these reports. With these leaked documents bringing Islamabad's involvement in the Ukraine war into the public eye, there are ongoing concerns about the future of Pakistan's democracy under its current military government.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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