ISLAMABAD, 16 March 2007 — The United States is to give Pakistan $750 million over five years to develop its troubled tribal areas bordering Afghanistan, a senior US official said yesterday.

US Assistant Secretary of State for South and Central Asian Affairs Richard Boucher announced the funding after holding talks with Pakistan President Pervez Musharraf, a key ally in the US-led “war on terror.”

“President Musharraf has been a very strong ally, Pakistan has been a very strong ally... we work closely with President Musharraf and the Pakistan government because we have common interest,” he said.

Washington and other Western allies have expressed concern about the regrouping of Taleban and Al-Qaeda militants in Pakistan’s impoverished tribal belt and about peace deals between the government and rebels.

“I am pleased to announce I was able to confirm to the government of Pakistan that we will be providing $750 million over five years to support the tribal area development strategy,” Boucher told reporters.

“This commitment to the development of Pakistan, this commitment to the long-term relationship, is another example of the very broad and deep relationship we have,” he added.

The administration of US President George W. Bush will seek the approval of Congress for the aid, Boucher said.

“This is a good plan, a comprehensive plan to ensure economic development, education and other opportunities to the people who live in the border regions of Pakistan, the tribal areas in particular,” he added.

The Pentagon was also asking the US Congress for $75 million to upgrade the Frontier Corps, Pakistan’s paramilitary border force that has borne the brunt of the fight against militants, he said.

Pakistan launched military operations in 2003 to clear the tribal areas of hundreds of Al-Qaeda and Taleban militants who fled Afghanistan after the fall of the Taleban regime in late 2001.

But after the deaths of hundreds of soldiers and around 1,000 militants it signed peace deals with tribal elders and insurgents in Waziristan. US officials in Afghanistan say attacks on foreign forces have since increased.

US Vice President Dick Cheney paid a surprise visit to Musharraf last month during which he urged him to crack down on militant safe havens in the tribal areas, saying that the Taleban and Al-Qaeda were regrouping there.

Boucher however defended Musharraf’s performance.

The US official, who arrived in Islamabad on Wednesday from Kabul, was cooler on Pakistan’s plans to fence part of the border with Afghanistan to stop the movement of militants. Afghan officials have rejected the move.

“Militarily, fencing may have a role, that is something that is best worked out in a common discussion. We hope that discussions will take place — we can help with that,” Boucher said.