IMF loan to Pak: Terror financing is absurd and must be stopped, says global investor Jim Rogers

New Delhi, May 10 (IANS) After the International Monetary Fund (IMF) approved the disbursement of $1 billion to Pakistan despite India's stern warning over such funds being used by the neighbouring country to sponsor terrorism, veteran global investor Jim Rogers on Saturday said that the financing of terror is “absurd” which must be stopped.

India has firmly opposed providing funds to a country that continues to sponsor cross-border terrorism, warning that such support carries reputational risks for global institutions and undermines international norms, according to government sources.

In an interaction with IANS, 82-year-old Rogers said he is against terror financing by global organisations, hailing India’s efforts to defend its borders.

“I am certainly against terror financing, and I hope the whole world is. Terror financing is absurd; terrorists are absurd,” Rogers emphasised.

On the ongoing conflict between the countries, the American investor and financial commentator based in Singapore said: “India is right in defending its borders. Every country is always right in defending its borders”.

“But the question always becomes who is actually defending the borders and who is attacking,” he said, adding that “India is one of the great and exciting countries in the world”.

Political leaders and experts have expressed serious concern over the IMF reimbursement to Pakistan, stressing that this would not help de-escalation of hostilities between India and Pakistan.

India has strongly opposed further financial assistance from the IMF to Pakistan. “Rewarding continued sponsorship of cross-border terrorism sends a dangerous message,” the Finance Ministry said in a statement.

“It exposes funding agencies and donors to reputational risks and undermines global values,” the Ministry added.

According to government sources, India abstained from the IMF vote on approving a loan to Pakistan not due to a lack of opposition, but because IMF rules do not permit a formal “no” vote.

By abstaining, India conveyed its strong dissent within the constraints of the IMF’s voting system and used the opportunity to formally record its objections.

India questioned the effectiveness of ongoing IMF assistance, noting that Pakistan has received support in 28 of the past 35 years including four programmes in just the last five without meaningful or lasting reform, according to sources.

--IANS

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