"Short-term, motivated by financial gain": Former diplomat Vikas Swarup on reset in US-Pak relations

New Delhi, August 13 : Former diplomat Vikas Swarup has described the United States' current relationship with Pakistan as a short-term, tactical arrangement driven largely by financial interests, while stressing that US-India ties remain strategic in nature.

In an interview with ANI, Swarup, a former High Commissioner to Canada and renowned author, said, "We have to look at the US' relationship with Pakistan in a different lens from the US' relationship with India. I believe the current relationship with Pakistan is tactical and short-term, primarily driven by the financial gain the Trump and Witkoff families hope to make from the cryptocurrency assets in Pakistan. I think the relationship with India is much more strategic. It is not so transactional as it is with Pakistan. That is why I personally feel that it is a passing phase. I call it a storm, not a rupture. You just have to wait out the storms. All storms eventually pass."

Earlier, State Department spokesperson Tammy Bruce maintained that Washington's relationship with both Pakistan and India "remains unchanged" and that US diplomats remain "committed to both nations."

The statement followed provocative comments by Pakistan Army chief Gen Asim Munir in Florida, where he said Pakistan could use nuclear weapons to "take down India and half the world" in an existential crisis.

Swarup further said that Pakistan may have leveraged intermediaries to gain favour with the US President, potentially contributing to a softer approach towards Pakistan. This could be linked to Pakistan Army Chief Asim Munir's visits to Washington and a potential "deal" on Pakistan's oil reserves.

"I think what has happened is Pakistan, through some intermediaries, has gotten the ear of the US President and that is why, two visits by Asim Munir to Washington, the so-called 'deal' with America on so-called 'oil reserves' of Pakistan," said Swarup.

He also said that Pakistan is reportedly positioning itself as the "Crypto King" of South Asia, possibly through its association with World Liberty Financial, which has ties to Trump's family and Steve Witkoff's family.

"More importantly, I think Pakistan is now trying to position itself as the 'Crypto King' of South Asia and there, through World Liberty Financial, in which Trump's family has stakes, Steve Witkoff's family has a stake, through that I think Pakistan has managed to project an image of itself as a reliable partner...All these things have led to Trump having a softer approach towards Pakistan," said the former diplomat.

Swarup further stressed that these tariffs are part of a broader strategy to exert pressure and secure favourable trade terms from India, in the light of Trump's 50% tariffs. The country is navigating trade tensions while prioritising national interests and avoiding concessions that might compromise its independence.

"But that does not mean that he has given up on India or that India is now an adversary for him. I think this is part of his pressure tactics to secure a more favourable deal. India should not cave in because our strategic autonomy is non-negotiable," Swarup told ANI.

The remarks come amid escalating trade tensions between New Delhi and Washington. In July, President Donald Trump announced a 25 per cent tariff on Indian goods along with an unspecified penalty, even as hopes for an interim trade deal were alive. Days later, he imposed another 25 per cent tariff, bringing the total to 50 per cent, citing India's purchase of Russian oil.

Explaining the reasons behind the move, Swarup said, "We have to understand why these tariffs have been imposed. I personally feel that there are three reasons. One, Trump is not happy with India because we are a member of BRICS and somehow, in his head, he has got this notion that BRICS is an anti-America alliance which is hell-bent on creating an alternative currency to the dollar. So, because of that, he feels that India should not be a member of the BRICS. Two, Operation Sindoor and his so-called role in bringing about the ceasefire."

Swarup maintained that despite the current turbulence, India-US relations are fundamentally strong and will recover once the "storm" passes.

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