Date: 12/09/2007

SECOND ROUND OF PAKISTAN-U.S. STRATEGIC DIALOGUE

Opening Remarks by Foreign Secretary Mr. Riaz Mohammad Khan and U.S. Deputy Secretary of State Mr. John D. Negroponte at the Joint Press Conference, Ministry of Foreign Affairs, Islamabad, 12 September 2007

Foreign Secretary Riaz Mohammad Khan : Ladies and gentlemen of the Media, Good afternoon. 

I thank you for coming to this press conference and I take great pleasure in welcoming His Excellency Mr. John Negroponte, the U.S. Deputy Secretary of State, to Islamabad . We have just concluded the 2 nd round of the Strategic Dialogue, which was established when President Bush visited Islamabad in March 2006. The first round was held in Washington last year in April, and this is the second round.

We had wide-ranging talks. Both sides reaffirmed commitment to a broad-based, long-term and sustainable relationship which is to the mutual benefit of both countries and a factor of peace and stability in the region and beyond. We welcome the growth of interaction in a variety of dimensions, especially bilateral trade, investment and economic cooperation. As you would recall, in the Declaration issued at the conclusion of the visit by President Bush, four areas were identified for particular focus. These included education, science & technology, energy, and economy. So we had focused discussion on these areas. 

The lead persons in these 4 areas also had separate meetings with each other and in the concluding session they gave us their reports. Earlier, I had the opportunity to elaborate on this. In education and science & technology, we have a number of proposals which include capacity-building, exchanges, establishment of an Institute for Advanced Technology and also health. In education, as you recall, the U.S. has one of the largest Fulbright programs. There is also a great deal of help in capacity-building in that area. We also focused on better coordination in these programs on our side and the U.S. side. In terms of economy there was focus on the establishment of Reconstruction Opportunity Zones (ROZs). The U.S. side informed us that very soon they would be introducing legislation for ROZs. This is a very important arrangement and would help this region, specially the FATA areas, because there would be privileged access for products from these areas which would be part of the legislation.

We focused on energy as well. I had the opportunity to explain to the Deputy Secretary of State about Pakistan 's plans for expansion and development of energy in various sectors to meet our energy requirements, including expansion of the production of hydro electricity, thermal power, renewable sources of energy, and nuclear energy. In all these areas, Pakistan looks forward to assistance from the international community. In the case of U.S. there is particular focus and request for production of energy from thermal resources, especially coal, and also to help us for getting energy from Central Asia . 

We reviewed our ongoing counter-terrorism cooperation. The Deputy Secretary of State expressed the U.S. appreciation for Pakistan 's efforts and sacrifices in countering terrorism and extremism. We also agreed on the need to improve intelligence-sharing and understanding with reference to the assessments in the National Intelligence Estimate of July 2007. I did point out that there were no safe havens for terrorists in the tribal areas. Pakistan is determined not to allow anyone to use its territory for terrorist activity.

In this context, I also underscored our concerns about some of the Pakistan-specific observations and provision in the 9/11 Commission Recommendations Act of 2007 which places conditionalities on bilateral cooperation.

We also exchanged views on regional and global issues of common interest. I also briefed the Deputy Secretary on Pakistan-India composite dialogue process and our efforts for the resolution of outstanding disputes between Pakistan and India , including Kashmir . We appreciate the U.S. support for the peace process and resolution of disputes.

I underscored Pakistan 's vital stake in a strong and stable Afghanistan . We exchanged views on Afghanistan and welcomed the positive outcome of the recent joint Pakistan- Afghanistan Peace Jirga.

We have agreed to hold the Dialogue every 6 months.

Thank you very much, and now I invite the Deputy Secretary to make his remarks and that would be followed by question and answers session

Deputy Secretary John D. Negroponte: I am extremely pleased to be here in Pakistan again. Your country is both a close friend and a long-standing reliable ally of the United States . Today's second round of the US-Pakistan Strategic Dialogue has been very useful. The continuing discussion between our two countries highlights the commitment both our nations have made to a wide-ranging, substantive, and long-term bilateral relationship.

Our relationship with Pakistan and the Pakistani people is very important. Pakistan has long been a strong US ally, but now more than ever, Pakistan stands as an important and pivotal nation in the world.

Pakistan is a large, moderate Muslim nation with a diverse population in a very critical region. It serves as the gateway, the crossroads, to both Central and South Asia . Pakistan 's continued progress and development are vital not only for its own people, but also for the stability of the region, the United States , and the rest of the world.

We welcome Pakistan 's leadership as a voice of moderation and reason in the Islamic world. Your nation remains a valuable ally in the war on terror. The United States recognizes the tremendous sacrifices the people of Pakistan have made in this struggle. We stand with all of those Pakistanis who have been wounded or who have lost loved ones, and we hold a special place of honor for those who sacrificed their lives in protecting not only Pakistanis but also the entire world from acts of terrorism. Facing these challenges strengthens our mutual resolve against terrorism and extremism. Pakistan 's efforts against extremism are a matter of record. We welcome and look forward to working with Pakistan in the new three-pronged strategy in the Tribal areas. Promoting security, dialogue, and development is a truly visionary approach. This holistic solution is a comprehensive and positive path towards resolving the issues in the Tribal Areas. The United States recognizes this. We have pledged $750 million to support Pakistan 's plan.

The United States continues to stand in partnership with Pakistanis as they build on their nation's many strengths. Our relationship with the Pakistani people goes far beyond security and counterterrorism. Our long-term programs, such as USAID's 5-year $100 million Education Assistance Program, seek to ensure Pakistan 's own efforts to build a democratically and economically vibrant country. Pakistanis are working to improve their nation in many other areas, including health, energy, technology, and democracy. Our continued Strategic Dialogue and our long-term assistance programs in Pakistan exemplify the forward-looking, broad and deep nature of our bilateral relationship.

The United States appreciates and fully understands Pakistan 's commitment to peace and stability in Afghanistan . Results from the recent peace jirga were very promising. We appreciate your nation's constructive role.

We realize there are many challenges ahead: be it fighting terrorism, expanding literacy, or spreading economic prosperity. We came here today to face those challenges head-on in our continued Strategic Dialogue. The only way to achieve long-lasting peace, stability, and development is by thinking strategically and by exchanging ideas through frank and regular discussions. By doing this, the United States and Pakistan actively reaffirm our broad-based bilateral relationship. We will continue to meet regularly. We will seek further opportunities to enhance this dialogue.

At this critical juncture in history, Pakistan has the opportunity to forge ahead as a vibrant, moderate, successful, and democratic Muslim nation. We stand ready to assist you whenever you may call upon us.