November 07, 1998
New Delhi

Statement by India regarding  lifting of some economic sanctions by US

We have seen news reports emanating from Washington regarding lifting of some economic restrictions imposed by the United States against India. We have always maintained that such unilateral and coercive measures are unjustified and counter-productive, and should be lifted.

India has been engaged in an intensive dialogue on a range of issues relating to disarmament and non-proliferation with the United States. These discussions have led to a narrowing a gaps of perception. We note that according to press reports, it is in recognition of this that the United States has lifted some of the measures.

We are of the firm view that all such measures, particularly, those relating to lending by multi-lateral financial institutions should go. The multi-lateral institutions in particular are economic and development-oriented organisations and should not be misused for political purposes to suit the whims and preferences of particular countries.

In this context we also note press reports quoting US Government officials stating that the US will work to permit lending from the multi-lateral financial institutions to support an IMF agreement with Pakistan "whose implosion Washington is keen to prevent". India has nothing against economic assistance to Pakistan and has consistently voted in the World Bank and other forums in favour of such assistance. The remarks attributed to US officials, however, reveal a selective and discriminatory approach which we find hard to understand and reconcile with.