The Role of Foreign Aid in the War on Terrorism: Examples From Pakistan

The United States and its partners in the war on terrorism have respond ed to the terrorist attacks with a three-pronged strategy ‐ short run military, medium term aid to vulnerable countries and groups, and longer term assistance programs that directly focus on the sources of terrorist motivation. Using Pakistan as a case study, it appears that the best way to implement the medium and longer term phases are assistance for education reform in the medium term, with the focus on institutional reform, and governance strengthening in the longer term. In most cases, grants are superior to aid in assuring effective and efficient implementation of the country’s assistance related programs.