Secretary Hillary Clinton and Foreign Minister Shah Mehmood Qureshi delivered these remarks in Washington, DC

Secretary Clinton. It is once again a pleasure to welcome Foreign Minister Qureshi here to the State Department. I am always delighted to see him, whether it is here or in Thailand or in the Netherlands or anywhere else. And it is important because we have, once again this afternoon, engaged in a productive discussion on the broad strategic partnership between Pakistan and the United States. We believe that it is critically important for the security and prosperity of both of our nations.

I reaffirmed the commitment of the United States to an enduring partnership with Pakistan, and to work with the government and the people of Pakistan to help spur sustainable economic development, enhance safety and security, and build on recent progress in the fight against the militants who have spread terror and instability in Pakistan.

I'm looking forward to continuing our conversations during my upcoming trip to Pakistan. My visit will come at a time when our two countries are deepening our cooperation and partnership. The Kerry-Lugar-Berman legislation that was passed by Congress last week unanimously is a historic chapter in our relations. What this bill does is to strengthen the bonds of friendship and cooperation between the American people and the people of Pakistan. It will help build civilian institutions, healthcare, education systems, infrastructure, and other important priorities of the government and people of Pakistan.

We've been working together in an integrated and unified effort that extends beyond our governments to include cooperation with civil society, with the private sector, and with the very vibrant Pakistani-American community here in the United States. We're stepping up our efforts to engage directly with the Pakistani people through educational and cultural exchanges, English language programs, scholarships, and professional linkages.

And as I mentioned to the minister, we intend to work with the Government of Pakistan to learn what is really needed and desired by the people of Pakistan to help promote innovations like mobile banking or increased microcredit. Really, I'm in public service because I want people to have a chance to live up to their own God-given abilities. And what we see in a common vision is to enhance the prospects for the children of Pakistan.

I'm pleased to announce that later this month, David Goldwyn, the State Department's coordinator for international energy engagement, will lead a government team for a dialogue with the Pakistani Government on energy policy and investment in the energy sector to address Pakistan's chronic energy shortfalls.

Now, we are working together in all of these areas and others as partners. We share the same goal—a peaceful and prosperous future for our people. And I'm especially grateful to have such a wise partner in Foreign Minister Qureshi. I have learned a lot from our time together. We have explored many different ideas as to what we could do to help our countries and help our people. And the rebirth of democracy in Pakistan and the achievements of your government, Mr. Minister, deserve and will receive our support and the support of your other friends around the world.

Foreign Minister Qureshi. Well, I'll only second what the Secretary has said, and what I want to say is this is my third engagement with Secretary Clinton. And each and every sitting and conversation we've had has built on the previous one. And today, I think our relationship, our understanding has improved, and you see a qualitative improvement in our relation.

I was just talking to Secretary Clinton, reminding her of when I came here last time, Washington was talking about the Swat deal. And today, Washington is talking about the successful Swat operation. Look how our relationship has developed in the last one year. Today, there's a greater confidence. Today, we are engaging on—beyond terrorism. Today, we are caring about each other. Today, we are talking about economic development, we are talking about social assistance to Pakistan.

And this commitment that the United States Congress, the United States Administration has made through the Kerry-Lugar bill is a long-term commitment with the people of Pakistan, the people and the state of Pakistan. It's a long-term, multi-year commitment, and I think it will improve the quality of life and the social indicators in Pakistan. I think the fact that the legislation got through unanimously in a very divisive world today is a great confidence that the U.S. Congress has reposed in the leadership of Pakistan, the administration of Pakistan, and the people of Pakistan. It's a recognition of the sacrifice the people of Pakistan have made over the years fighting extremism and terrorism. And it is a growing relationship. It's a growing partnership. And we have discussed other avenues of cooperation. And the Secretary has just mentioned energy being one. That's a forward step. The th statement the co-chairs made on the 24 of September, talks of market access— that's another way forward. So I think we are looking towards a long-term relationship.

And the interesting thing is this commitment is not just bipartisan. After a long time, we see that the Executive Branch and the Legislative Branch of the U.S. Government are working in harmony and are one as far as Pakistan is concerned. And that's a very strong signal. That's a very strong message for the people of Pakistan.

Secretary Clinton. Thank you, sir.

Statement by the Press Secretary on the signing of Kerry-Lugar-Berman

Earlier today at the White House, the President signed into law the Enhanced Partnership with Pakistan Act of 2009, also known as “Kerry-Lugar-Berman.”

This law is the tangible manifestation of broad support for Pakistan in the U.S., as evidenced by its bipartisan, bicameral, unanimous passage in Congress.

As President Obama said on March 27, the United States wants to engage Pakistan on the basis of a strategic partnership, “grounded in support for Pakistan's democratic institutions and the Pakistani people.” This Act formalizes that partnership, based on a shared commitment to improving the living conditions of the people of Pakistan through sustainable economic development, strengthening democracy and the rule of law, and combating the extremism that threatens Pakistan and the United States.

Secretary Hillary Clinton was interviewed by Anwar Iqbal of Pakistan's Dawn TV in Washington, DC

Q. It's always a pleasure talking to you and I was thinking, instead of turning it into a typical interview why don't we do it as a conversation between a person who represents the United States of America and the Government, and somebody who is a member of the Pakistani nation. And I think of a little poem I wrote when President Obama was elected.

That was like, you know, one of my children came running to me and said Baba, Obama has won. So I said to him, I said yes son he has but I am hoping that the day will come when someone will come and say Hussein has won and that when I'm traveling on the train when someone asks me who you are, I don't have to say that I'm from a place in South Asia, I can say that I'm from Pakistan and I'm a Muslim without fearing that he will hate me for that. So can you talk about this particular thing, how do we overcome this fear?

Secretary Clinton. Well, first let me say how pleased I am that I will be in Pakistan for my fifth visit. I came as First Lady, three times as a senator. This is my first time as a Secretary of State, but I am so looking forward to returning. And I want to help turn the page on the past in our relationship, and for me that's not only about our government-to-government relationship, but people-to-people, where we look at each other as fellow human beings, where we learn from each other, we listen and really take in what are the experiences and the perspectives that the other brings. I am a very strong believer that that is part of what we're trying to do in the Obama Administration. And both President Obama and I have Pakistani friends, Pakistan[i]-American friends, [and] have a great affection and admiration for the culture and people. And what we want is to set our relationship on a firmer foundation.

So I share your hope that for a Pakistani here in the United States, or for an American in Pakistan, we will not have these misconceptions and these stereotypes that stand in the way of us seeing each other clearly. Now, that doesn't mean that everything will be perfect because we are two different peoples, two different nations. We have different expectations. But we can clear away a lot of the underbrush and begin to work closely together.

Q. Overcome this fear, this mutual fear.

Secretary Clinton. Yes, yes.

Q. Of course as you said it is here in America too. You hear people are not interested in politics….the extremists may somehow get a hold of nuclear weapons and then they can do something terrible so there is fear on both sides so how do you overcome it?

Secretary Clinton. Well, I think by greater awareness, by doing what we are doing. For me, it is very important to recognize the sacrifice that the Pakistani people are making in this war against violent extremism. More Pakistanis have been killed, more civilians have been oppressed or intimidated, very brave military and government officials have lost their lives in this struggle that is a common struggle. And I think if we can begin to put it more in that context and recognize that the United States and Pakistan really do have a lot in common and it's not only about the war against these violent extremisms. What do people in Pakistan want? Good jobs, good healthcare, good education for our children, energy that is predictable and reliable—the kinds of everyday needs that are really at the core of what Americans want. And the more we can draw those similarities, even though, of course, there will be differences, but let's narrow the area of difference so that we can see how much more we have in common. That will begin to dissipate the fear.

Q. Well, that is true and I wish you good luck. We really need that kind of understanding, that kind of an approach or an effort to understand each other. And on thing that is not understood here is that the majority of Pakistani's do not belong to those minor, minute region sects that are involved in violent activities. The majority are (inaudible) and so far not a single (inaudible) has been found involved with any of these groups. And they believe in Sufism, their art follows the Sufi sense. So when you go to Pakistan will you make an effort to connect with that part of Islam, Sufism and Sufi (inaudible?)

Secretary Clinton. Yes, I do intend to make such an effort. And one of my Pakistani friends explained it to me in saying that our Islam is not what is being portrayed in the world media. And I want to do more to send that message back to the United States. And he also said that some of what has happened is that it's almost as though there's been a tumor injected into the Pakistani body, and it is a tumor that comes from outside of Pakistan, outside of Pakistan's traditions, it is foreign to the body just as a tumor is foreign to the functioning of the body, and that people need to understand that the Pakistani people are fighting against that tumor. The very courageous efforts by your military, first in Swat, now in Waziristan, are to eject that foreign body, because it has unfortunately polluted some of the very good and positive features that are really part of what Pakistan is. I thought that was a fascinating description. I mean, I was born in the same year that Pakistan was born, and I—

Q. 1947.

Secretary Clinton. 1947.

Q. And today is your birthday.

Secretary Clinton. That's right. Thank you. Today happens to be my birthday. And so I know how difficult it has been for the Pakistani people to really understand what is being done to them. It is a foreign influence that has to be rejected. And the vast majority of Pakistanis reject it. The government is working to eliminate it, and we want to be your partner in making sure that the true character of Pakistan is conveyed.

Q. But that's a very tricky thing to do. Like I can see when you passed this Kerry-Lugar Bill. There is one clause which talks about civilian control over the military. That was an effort to be on the side of the people of Pakistan who for long have been saying that the civilian authorities should control the army, everybody wants that. But at the same time, there are many people who do not like this government for political reasons and if the President the Prime Minister was Benizir Bhutto, as people originally wanted, it would have been different. But now many people do not want to see the President to have that kind of control over the military. So your efforts, which is actually a good will gesture towards the people of Pakistan, which was coming with a lot of money, $7.5 billion dollars.

But the cash (inaudible) become controversial cause of (inaudible) politics. So how do you avoid that, how would you make that different?

Secretary Clinton. Well, first, Benazir Bhutto was a friend of mine, someone whom I liked and admired so much and whose loss was not only a terrible loss for Pakistan but for the world. In a democracy, someone has to win and someone has to lose. I am old enough that I have lived through a number of different administrations in my own country. Some presidents I approved of. Some presidents I did not approve of. But democracy has to be more than just about personality. It has to be about building strong institutions. And clearly, there has to be checks and balances on any president, no matter who that president might be. But there are certain principles that should be sustainable through presidents you like and presidents you may have questions about. And I think that's really all that we were intending to say is that to build the kind of strong, sustainable democracy that Pakistanis tell me they want, there has to be institution building.

But we've made it very clear that in Kerry-Lugar we're not putting conditions on the Pakistani Government, we're putting conditions on ourselves in evaluating our aid, like we do with the vast majority of our aid programs where we say are we getting what we would say is the kind of return on our investment that we would like to see. But the Pakistanis have their own ability to make decisions that they believe are obviously in the Pakistani interest. We respect territorial and sovereign capacity of Pakistan. Their sovereignty has to be respected. So we want to be a partner, not to in any way dictate but to assist. And that's what we're attempting to do.

Q. Well it became so controversial. So would you say that the Kerry-Lugar Bill has done permanent damage or at least a serious damage to your relationship with the Pakistani military?

Secretary Clinton. I hope not. And I will be discussing that directly, as have other representatives of our government, both our Administration and the Congress, because that was certainly not the intention. We are providing a great deal of support to the Pakistani military in their courageous fight against the violent extremists, so we certainly want to have a positive relationship and there's been a lot of outreach between the leaders of our military and the leaders of the Pakistani military and there seems to be a good base for cooperation between our militaries. So we do very much value the partnership and support that we are giving to the Pakistan military, and I hope that that will be the real story that comes out.

Q. And have you rushed in some supplies recently after the (Inaudible).

Secretary Clinton. We have been trying to accelerate our assistance for the Pakistani military. We both have bureaucracies. We know how it is sometimes that things get delayed or they're slower than we want, but we're really trying to accelerate everything we can to help the Pakistani military.

Q. But can you see that there is a realization in Washington that it's very important for Pakistan to win this battle fought with (inaudible)?

Secretary Clinton. That is a 100 percent. We believe that what the Pakistani military has done is in the best interest of Pakistan. It also is a conflict that we believe Pakistan has to win for Pakistan's future.

Q. It's a huge risk they have taken and if it is lost everything is lost.

Secretary Clinton. Well, it is a risk, but I have a lot of confidence in the Pakistani military. I think that this is a very well thought out and well executed military campaign. We saw the success in Swat, and I think we're seeing the results of this effort in Waziristan.

Q. There was some report that you are also sharing drone intelligence gathered by drones with the Pakistan military during this operation.

Secretary Clinton. Well, I don't discuss intelligence, but we are doing all that we can to be helpful to the Pakistani military.

Q. There is another law passed recently, well not a law, it was part of the (inaudible) bill, and that too has introduced some restrictions on U.S. military aid to Pakistan (inaudible) and that also garnered negative publicity in the Pakistani media. So do you think the Americans are trying to tighten up restrictions on the Pakistani military? Is there a lack of trust there? Because there are people saying that the U.S. administration is not very happy with the way money was spent during the Musharraf area and now they want to insure that the money is spent the way it is?

Secretary Clinton. Well, again, I think if one looks carefully at those provisions, they're mostly about what our Defense Department is expected to do. They're not really any kind of condition or restriction on the Pakistani military. But I do think it's fair to point out that when the United States taxpayers provide money to any military, which we do in many places around the world, it is supposed to be for certain missions. I mean, there are many areas where a nation's military would be proceeding on its own because something was very much in their own self-interest which we do not partner on, but where we partner there is a back and forth about what we can do to be helpful.

And that's what we're trying to do, and I think that the way that we're supporting Pakistan is really unprecedented because we're supporting not only the military, we're trying to support the civilian side, because we very much admire what the military is doing in this fight against violent extremism, but we also want to help the government and the people of Pakistan with energy, electricity, job creation, education—the kinds of things that people who may not live in Waziristan but may live in Karachi or Lahore are saying, well, what's in this for me, what am I going to get out of the relationship. And we want it to be a comprehensive strategic relationship.

Q. No, but is it fair to say that, if you have a unite (inaudible) and it is given certain equipment to use against the extremist and when it's moved back to the Indian border, is it fair to demand that that unit should leave those weapons behind and when it goes to the other border it should have other weapons, not those (inaudible) for using there?

Secretary Clinton. Well, that's really a question that is hard to answer because a lot of military equipment is fungible. I mean, it's mobile. It can be used in different places. But what we see as the direct threat to Pakistan right now comes from the violent extremism. Obviously, we are hopeful that there will be a resumption of dialogue between Pakistan and India, because I think the threat that Pakistan faces is a threat that could destabilize the entire region. And what we want to do is to help Pakistan really finally eliminate that threat. And what we hope is that on the ongoing challenges between India and Pakistan that that can be handled politically and it would never come to any kind of military action.

Q. (Inaudible.) everybody says that you can of course, and you need to beat them in the battle field but this war has is a war for heart and mind and it has to be won there. (Inaudible)

Secretary Clinton. Well, I think we're just beginning to understand the best ways to fight that war. Clearly, those who are suicide bombers, who blow up military headquarters, who attack cricket players— I mean, what kind of life is that? What does that have to offer to anyone? So we do need to take them on and we need to take them on in the most effective possible fashion.

But we also know that if people can't send their children to a good primary school, if there aren't secondary schools for children to go to once they get out of primary school, if there is not the kind of future for the economy, well, that breeds a level of dissatisfaction and discontent that could be radicalized, not just in Pakistan but across the world. So the military response must go hand-in-hand with the political and the economic responses. So what we are trying to do is, in working with Pakistan, to integrate those so that people feel that it's—our relationship is not just based on the immediate threat from the violent extremists, but that the United States wants to see a prosperous, peaceful future for Pakistan. And that goes to what we can do together to help people who are in need of the support that we want to offer.

Q. One way of concurring that is to talk about American culture. The American centers in Pakistan and everywhere else are doing a great job of doing that. I mean if you ask me to define America, the America I learned before coming here was from Old Man in the Sea or from The Blades of Grass. Now extremists have done an irreparable damage to that. Because of the situation you were forced to close down those centers. I can see, when I go to Pakistan, an entire generations growing up that does not know about Hemingway or Whitman other great American writers or film makers or you know others. So how do you, what do you do about that?

Secretary Clinton. That's a really important point, Anwar, because what I would like to see us do is to reach out more again to people culture-to-culture. I would like artists and academics to come from Pakistan to the United States, and I want more from the United States to go to Pakistan. I also think we should be using the internet. We should be using cell phone technology. Maybe we can't have the physical presence that we would like in some places as we previously did. We can have the virtual presence. We can do much more through the media to counter some of the myths and the misperception. That's really our responsibility. And a few weeks ago, our new public diplomacy under secretary, Judith McHale, was in Pakistan meeting with people, and she heard some of the criticism, like you're not present, you're not responsive, you don't reach out again. And many people would say things like when I was in college or university there was much more free exchange between the United States and Pakistan. That seems to have diminished. We want to rebuild that.

And I think your point is a very strong one. We want people to see America in its fullness—the generosity of spirit, the fact that we have gone to war to protect Muslim lives many times in the last 15 years. We believe strongly that Islam is an extraordinary religion that deserves the support and the protection that should come with people being able to stand up and say I'm a proud Muslim and I'm a proud Pakistani and I am in favor of peace and coexistence. I mean, we want to see that. And we can't leave the arena to the extremists who intimidate and oppress people.

Q. There is another point that aid is very important but aid will never make Pakistan prosperous, trade will. There was a bill that is still under consideration for establishing trade zones along the tribal areas and there are other proposals too. So what do you propose for improving trade between the two countries; encouraging Pakistan to stand on its own feet?

Secretary Clinton. Well, I'm very committed to improving trade. I support the reconstruction opportunity zone legislation. I went up and spoke to 52 senators a few days ago, stressing the importance of that legislation. So I'm going to do everything I can. And we want to help with some of the infrastructure issues that will assist the economy, like reliable, predictable electricity, like some of the roads and the ports and other kinds of infrastructure that will really lift up the Pakistani economy.

Q. My last question. You just attended this very important meeting at the White House and I'm sure the focus was on Pakistan; you're leaving for Pakistan soon. What message are you taking? Did the President give you a message? Was there anything specific? I understand you can not disclose the contents of the meeting but what are you taking with you?

Secretary Clinton. I'm taking not only the very warmest wishes of President Obama, who has a longtime personal connection to Pakistan and Pakistani friends, and I think in an interview with you he talked about how much he loves Pakistani food and even cooking it up from time to time. But I'm taking his hope with me that we can really break through some of the misperceptions, some of the stereotyping, misinformation that has plagued our relationship. Let's get back to a really strong basis where we can work with one another, we will listen more closely to one another and consult and have this strategic partnership really build more into the future and create benefits for both of our people.

Secretary Hillary Clinton was interviewed by Sami Abraham of Geo TV in Washington, DC

Q. [T]here were certain reports, comments on the Kerry-Lugar bill, and one comment was that with this bill, perhaps the U.S. is making an effort to halt Pakistan's nuclear program, and specifically they mentioned one clause which says that—the information or access to those who are in the process of acquiring nuclear material. Now, people in Pakistan say that acquiring the nuclear material does not fall in proliferation. But still, that was mentioned in the bill, and they believe that that clause was not aimed at stopping proliferation, but perhaps to halt the nuclear program of Pakistan.

Secretary Clinton. Well, that is not at all what is intended or what had been assumed in the process of this legislation. First, let me say that we have confidence in the Pakistani Government, in the military, in their efforts to safeguard Pakistan's nuclear arsenal. We have absolutely no reason to doubt the very strong measures that Pakistan has taken.

But we are concerned about proliferation, and I believe Pakistan should be concerned about proliferation. What would happen if some terrorist went off to somewhere else in the world and acquired material to detonate a bomb that had nuclear material in it? It would be devastating, whether it happened in Pakistan, Afghanistan, in the Middle East, in Europe, the United States. I think all people who know the importance of making sure that this material is not proliferated into the wrong hands should agree with us, but that has nothing to do with our confidence in the Pakistani program.

Q. Let's talk about war on terror. Right now, Pakistan forces, they have started operation in Waziristan. But there was a concern in Pakistan that when they started this operation (inaudible), they abolished their check post by Afghan borders. Was there any specific reasons for that?

Secretary Clinton. No, no, not at all. I'm not aware of that, but I know for my information, that we are very impressed with the actions being taken by the Pakistani military. This appears to be at a very well planned and implemented effort to try to go after those who threaten Pakistan.

I think your question is part of a broader concern; how do we try to prevent the movement back and forth across the border between Pakistan and Afghanistan so that we are not threatening the people of Pakistan, because people in northern Pakistan take refuge on the Afghan side of the border, or vice versa, so that people don't take refuge inside Pakistan. So I think that that is—that remains a very high priority. I don't know about specific military decisions, but I do know that the Obama Administration is committed in the effort against the Afghan Taliban, just as we see Pakistan going after elements of the Pakistani Taliban that threaten Pakistan.

Q. As you talk about stronger relationship and a level of trust, we see statements and also conversations which are in the newspapers that Pakistani security forces, they are wanted to do operation in Waziristan (inaudible), but there was shortage of supply of military equipment which was not being provided by the United States. And also, there was a complaint by the Pakistanis that the reimbursements under the CSF are very delayed and almost now $2 billion which are pending. And these things, according to Pakistani forces, are hampering the war on terror.

Secretary Clinton. Well, we inherited a system which we are working to change. With respect to the reimbursements, we are trying to expedite and streamline that process. We have an obligation to the American taxpayer, because in effect, we're saying to people who live and work in Chicago or in Los Angeles, you have to help us to help Pakistan. And so we do have a reimbursement accountability schedule which we use with everyone around the world.

But I think under the circumstances of what the Pakistan military is attempting to do—and one of the examples that the Pakistani military has given to us is that when people in the military are out in Swat or Waziristan, they may go to a farmer and buy some sheep in order to slaughter them and eat them. Well, the farmer doesn't have a receipt book. And so when we get something for reimbursement to help the troops who are on the ground fighting the bad guys, as we call them, we just have to work this out.

But it is not in any way specifically about Pakistan or in any way meant to be misconstrued. And that's what I want to get across to the people of Pakistan, is that we both have governments with bureaucracies. Heaven knows they're not the easiest things to move and make do what they should do. But we are very committed to this relationship. And so when we hear things like that, we try to remedy them—maybe not as fast as we would like, but we do try to respond.

Q. Another issue which is very important to the region is relations between India and Pakistan. President Obama, when he was campaigning as candidate, he discussed the (inaudible) Kashmir issue. But after his presidency, we haven't seen anything on that front. And many in Pakistan believe unless you start on the Kashmir issue, a durable peace is not possible in the region and relations between India and Pakistan will not be normalized. What is your take on that?

Secretary Clinton. Well, first, let me stress that our relationship to India is a separate relationship from our relationship to Pakistan. We want to have two solid bilateral relationships. We believe that we have very important interests with Pakistan and with India. Now it would be a very important step for both India and Pakistan to work to resolve their differences.

But we believe that the most durable possible outcomes of any kind of resolution or normalization can only come from the two countries themselves—developing more trust, more confidence-building measures, and working toward resolving. There was some very good work done in the last several years which we encouraged and we watched with admiration— the bus routes being open, for example.

So we are going to encourage and hope that we can see that occurring again, because at the end of the day, Sami, my view is that India and Pakistan have so much more to gain by working through their very difficult relationship. It will help improve trade and investment and it will create a better opportunity for Pakistan to prosper and progress, and that's what I hope will happen.

Secretary Hillary Clinton delivered these remarks while en route to Islamabad, Pakistan

Secretary Clinton. Why don't we just say a few words. I hope you all can hear me. Obviously, I view this as a very important trip in our continuing effort to create a comprehensive relationship with Pakistan that covers a whole range of issues that are important to the people of Pakistan, important to the people of the United States, and to the greater region as well. We are turning a page on what has been in the last several years primarily a security anti-terrorist agenda. We hold that to be extremely important. It remains a very high priority. But we also recognize that it's imperative that we broaden our engagement with Pakistan. That's what Ambassador Holbrooke has been working on with his team to expand how we support the civilian government, how we deepen the military-to-military and intelligence-to-intelligence relationship.

So while I am in Pakistan, I will be having a number of official meetings with not only the president, the prime minister, and the foreign minister, but other ministers in the government, members of parliament of a number of parties, as well as meeting with the opposition, the Sharifs. I will also be doing a lot of public diplomacy and engagement and doing events with students, with women, with Pashtun elders, going to pay respect to some of the cultural places of significance in Pakistan. So it's going to be a very, very broad survey of everything we are doing and some of the announcements that I will be making on the trip to further demonstrate that we want a long-term relationship with Pakistan. We believe we have a lot in common. We have areas of disagreement, obviously. We're trying to narrow those and expand common ground that we both can take over together.

So it's going to be a very intensive trip. We'll be hitting the ground and immediately going into meetings. I'll be going to Lahore the next day, back to Islamabad, so we're going to have a very, very busy schedule. So with that, let me just throw it over to all of you.

Secretary Clinton. We will be making some announcements about some of the investments we're making with Pakistan on the civilian side. It is going to be emphasizing the needs of the people of Pakistan. We have done a lot of consulting with people in Pakistan, and so like people everywhere, they want good jobs, they want to improve their incomes and their livelihoods, they want reliable electricity and energy so that they can maintain commercial enterprises and avoid the regular disruption of their electricity supply. They want education. They want healthcare.

Obviously, the current campaign in Waziristan is of great interest to us. We admire what the Pakistani military is doing in taking on this fight. We think it's in the interest of Pakistan to do it. So we will be meeting and talking about really anything you can imagine on a broad strategic dialogue between our two countries.

Q. What's the message that—

Q. (Inaudible) say publicly that you want to take on some of the anti-American propaganda.

Secretary Clinton. Right.

Q. (Inaudible) use this information (inaudible).

Secretary Clinton. Well, I think it's fair to say that there has been a lot of misconceptions about what the United States intends with our relationship with Pakistan. And I have given two interviews that were embargoed until I arrive in Pakistan with two of the leading television programs, and I will be doing intensive amounts of Pakistani media, not just English speaking but Urdu as well. We're trying to reach more broadly into the society.

And I want to make clear that the United States and Pakistan have a long history of cooperation and partnership. We have a relationship that we want to strengthen, but we don't want it to be lopsided. We don't want it to be just about security and just about our anti-terrorist agenda, although, as I said, that's our highest priority. So we want to strengthen democracy, we want to strengthen civilian institutions, which we think are in the best interest of the people of Pakistan.

And it is unfortunate that there are those who question our motives, perhaps are skeptical that we're going to commit to a long-term relationship, and I want to try to clear the air on that (inaudible).

Q. (Inaudible.)

Secretary Clinton. No, not at all. I mean, obviously, we were concerned by the opposition that was expressed to the Kerry-Lugar-Berman legislation because it was legislation intended to exemplify this long-term relationship and to demonstrate our support for the kind of civilian priorities that the people in Pakistan have expressed their desire for. They want partners in infrastructure and in health and in education and energy. So we've been working very hard. We've sent a team of people—obviously, the experts on Richard's staff, but also David Goldwyn, who is our international energy coordinator, has been out working with the Pakistanis; David Lipton from Larry Summers' staff has been out working on the finance side of their challenges.

So when there was opposition expressed to Kerry-Lugar-Berman, obviously, Senator Kerry and Congressman Berman clarified (inaudible). We made the argument that when we do aid, we often say we have to have reporting. I mean, I do a lot of reporting. The Secretary of Defense does a lot of reporting. These aren't conditions on Pakistan so much as they are metrics for measuring whether we think our aid is being productive. But I think that some of that was for political reasons, and I understand that. You have one party in power, you have an opposition party on the outside; there's going to be a natural kind of give and take on a partisan basis. But I've been answering questions about it, and I intend to continue (inaudible).

Secretary Clinton. I think, though, that General McChrystal is engaged in a very—he's engaged in ongoing discussions with General Kiyani. I mean, he's been to visit him in Islamabad. I know Admiral Mullen also speaks on a regular basis and visits General Kiyani. I know that they are open to any kind of information or strategic concerns that the Pakistanis have presented them. Obviously, the border is a concern to everyone. It's a concern to people in Pakistan and Afghanistan and to our troops. But I think that the strategy that General McChrystal is working on with General Kiyani really should be looked at as part of a higher approach. Now, it is true that because the border is porous people go back and forth. We have to do a better job and so do the Pakistanis, and eventually so do the Afghan security forces on securing their own borders.

So there's a lot to discuss here, but I think it should be in the ordinary course of business. It's not any kind of dramatic development. It's just what's the best way to achieve our mutual end.

Q. Is there any way that—do you believe that the Pakistan nuclear arms are safe? (Inaudible) bring up the issue (inaudible) talking about proliferation and (inaudible). Do you have something you want to talk about in regards to proliferation?

Secretary Clinton. Well, we always talk about proliferation with everybody that I meet with, and we will certainly raise it with Pakistan because we do believe that the Pakistani nuclear arsenal is safe, and we have a high degree of confidence in that according to our nuclear experts who are the monitors and watchdogs on that front. But we worry about proliferation, and we have good reason to worry about proliferation. In the past, certain elements and individuals within Pakistan were proliferators. Everybody knows that. So we want to encourage Pakistan to join with us in the nonproliferation review conference that will be held next spring. We want them to work with us on the Fissile Material Cutoff Treaty. We want them to really understand how serious a threat we face. And I guess I couldn't put it any more starkly than to say that we know al-Qaida and their related extremist allies are always on the hunt for nuclear material, and it doesn't have to be a lot to create a very damaging explosion with extraordinary psychological and political ramifications.

So now that we see that the Pakistani military recognizes the threat posed, we want them also to imagine what that threat would be with a nuclear weaponized terrorist group in their midst. So it's not just about what might happen in our country or in Europe. It's what could happen in Pakistan and what the impact of that would be on their development, on their growth, on everything that they are working on.

Jill.

Q. (Inaudible.)

Secretary Clinton. Jill, for a very long time, I think many Pakistanis saw the increasing extremist threat in the FATA, in the (inaudible) border areas, as not about them. I mean, if you're living in Karachi, it seems like a long way away, if you're living in Lahore or Islamabad or Rawalpindi. And the major concerns were jobs and electricity and health and education, the kinds of things that people everywhere are concerned about.

But in the last year, with the very aggressive and blatant attacks that the extremists have been carrying out against targets that represent the state, like the general headquarters of the military, the people in Pakistan are very supportive of what their military is doing.

Now, there is some concern that the government may not be able to protect as many sites and settings like the college, the Islamic college that was attacked last week, which, of course, the government and military are trying to deal with. But the overall support for what they're doing against the extremists is very high.

Q. Secretary Clinton, following up on Mark's question, you were talking about how the Pakistani authorities recognize that the terrorist groups are a threat to their ISI and their military. Are you convinced that there is no more collaboration between the military and the ISI in assisting certain terrorist groups like Lashkar e-Tayyiba?

Secretary Clinton. No.

Q. You're not convinced?

Secretary Clinton. No, but I'm not unconvinced.

Q. So where are you on that?

Secretary Clinton. Well, I mean, we are constantly assessing that because it remains a concern to us. And I feel that the level of cooperation that we have received from the Pakistani military and intelligence services has increased geometrically in the last nine months.

But I think you have to recognize that there is so—there are so many issues that have to be dealt with by the Pakistanis themselves, that we continue to raise issues. We prod. We are clearly pushing for the trials of the Mumbai attackers and planners to go forward. So we raise all of these issues. We are very much focused on them, because we see them as a threat to Pakistan, we see them as a threat to India, we see them as a threat to stability in the region. We don't think it's good for anybody.

Secretary Hillary Clinton and Foreign Minister Shah Mehmood Qureshi delivered these remarks in Islamabad, Pakistan

Foreign Minister Qureshi. Thank you, ladies and gentlemen. (Inaudible.) Let me welcome you, Madame Secretary, once again, to Pakistan to the Foreign Office. We're delighted to have you here because we know that you're a friend of Pakistan. We know what your views are for this region, for Pakistan, and certainly this visit of yours will build bridges and deepen our relationship further.

I think this visit is well timed, and I said this to Secretary Clinton. Because Pakistan, as you know, ladies and gentlemen, has entered a critical phase in its fight against extremism and terrorism. And to visit Pakistan at this stage to express solidarity with the people of Pakistan, I think, is an expression, a loud and clear message from the government, the Administration, and the people of the United States of America.

I think this trip is important because it is taking place when there is a democratic dispensation in Pakistan. And your Administration, Madame, has very clearly felt for the first time, in black and white, that we want to deal with a democracy. We uphold and share common democratic values. And I think for a country which is developing democratic institutions, that message is a powerful message for the people of Pakistan.

There is a policy shift that one sees in your approach, and that's a very welcome shift. And the shift is that you move from individuals to people, and you want a people-centric relationship, and that, I think, is very important. We are democracies. You are a democracy, and you have supported the transition to democracy in Pakistan. And today, we are a democracy as well.

So democracies, I think, have to redraw terms of engagement. And today in our very constructive, very positive engagement that we've had this morning, we have sat and analyzed the way forward. What we have, what we—the baggage of history, the needs of our current times, and the future, the vision for the future. I have had the pleasure of sharing a roadmap for U.S.-Pakistan relations with Madame Secretary, and—which is my vision for the future, the way forward for the future.

What we need to do is to build a relationship, a relationship based on trust, a relationship based on mutual respect, and a relationship based on shared objectives. And today, in our engagement, we discussed how to reinforce the trust, how to understand and be sensitive to each other's concerns, and how to identify and align our objectives, our strategic interests for the future. Democracies, as you know, ladies and gentlemen, cannot be oblivious of public opinion.

So there are fears and concerns on both sides. Let's acknowledge and admit that. And we need to address them. And I think we have now in place a mechanism, a leadership on both sides, that is willing to address those fears and concerns, have the mindset to address those fears and concerns to our mutual benefit.

We also discussed the situation in Afghanistan. We both have a stake in Afghanistan. We both have an interest in a peaceful, stable Afghanistan. And we discussed the—Afghanistan. We discussed the new review that is taking place in the United States, and I requested the Secretary to share the views with us, take Pakistan's input in that. And in my view, it will be useful.

And finally, we've had a very frank and a very honest discussion, and it started with history—you know, the seesaw in our relationship, the baggage that both of us carry of decades—over the last six decades. And we cannot ignore history. We should not ignore history. Keeping that in view, we have to build a relationship for the future. We have to regain each other's confidence. And I think this Administration, ever since it's come into office, from the trilateral process we've had in Washington and the various engagements—the appointment of the special representatives, the frequent interaction that we've had, is willing to engage and understands the importance of confidence in each other.

We both are of the view that our relationship has to go beyond terrorism. Terrorism and defeating—combating terrorism is a shared objective, but we have to go beyond that. When we need to—when we go beyond that, we have to help build each other's strength. Pakistan is a resource-rich country. We need United States support and help in using our resources, wealth. We need greater market access, and we've talked about the FDA. We talked about how important it is to have trade as opposed to aid. Pakistan's preference is trade.

We also discussed how important it is for Pakistan to resolve the energy crisis and the input that we have shared with each other through the task force that you set up of late. We have also talked about how important it is to build capacity of institutions, institutions that can deliver and improve the quality of life of the ordinary citizen of Pakistan by providing better health, education, you know, sanitation, pulling people out of poverty. And finally, we've discussed how we can be sensitive to each other's core interests.

I think this engagement was very useful. I think, ma'am, your presence and your trip, which—and a comprehensive program that's set forth would be very useful in adding a new chapter to our relations. So thank you for coming.

Secretary Clinton. Thank you so much, Minister Qureshi. And I believe this is the sixth time that we have met—three times in Washington and one in New York and one in Phuket, Thailand, and now back here in Islamabad—and I'm very pleased to have this opportunity to continue our in-depth discussions. And I thank you for the openness and the sharing of views that will really help us build the kind of partnership that will benefit both of our countries.

I'm also pleased to be here in Pakistan for my fifth trip. I well remember my first trip, nearly 15 years ago, when I was traveling with my daughter Chelsea. And together, we experienced the warmth and hospitality of the people of Pakistan. It was an extraordinary visit for both of us. And I remember the young people I met, the civil society leaders, the visit to the Faisal Mosque, my daughter discussing with the guides there the course in Islamic history she was taking in high school. I remember so well the faces of the people, the conversations that we had.

And for me, this is a personal privilege, as well as a high honor, representing President Obama and our government, because today, the people of Pakistan and the United States face shared challenges. And we are poised to benefit from shared opportunities. This is a critical moment. And the United States seeks to turn the page to a new partnership with not only the government, but the people of a democratic Pakistan.

We hope to build a strong relationship based on mutual respect and mutual shared responsibility. I am confident that if we listen to one another, we consult, we work closely together, we will succeed. Because while we may disagree from time to time, as friends and partners do, we are bound together by common interests and common values that are stronger than any of our differences. There are many areas where our nations already work together. Now, we seek to deepen those efforts and find additional opportunities for partnership. Again, not just government to government, but in the private sector, in universities, in nongovernmental organizations, civil society groups, religious institutions, and of course, and most importantly, people to people, which is the kind of diplomacy that I think has the longest benefit.

In this regard, I am delighted that the foreign minister and I have agreed to resume and intensify the U.S.-Pakistan strategic dialogue, which I will personally oversee for my country. We want a comprehensive dialogue that is results-oriented.

Now it's obvious that one important issue facing both of our nations is security. Pakistan is in the midst of an ongoing struggle against tenacious and brutal extremist groups who kill innocent people and terrorize communities. I know that in recent weeks, Pakistan has endured a barrage of attacks, and I would like to convey my sympathy and that of the American people to the people of Pakistan. But I want you to know that this fight is not Pakistan's alone. These extremists are committed to destroying that which is dear to us as much as they are committed to destroying that which is dear to you and to all people. So this is our struggle as well, and we commend the Pakistani military for their courageous fight, and we commit to stand shoulder to shoulder with the Pakistani people in your fight for peace and security. We will give you the help that you need in order to achieve your goal.

But our relationship with Pakistan goes far beyond security. That may be what is in the headlines for obvious reasons. Today, we had more vicious and brutal attacks that killed more innocent people. The terrorists and extremists are very good at destroying, but they cannot build. That is where we have an advantage. Because today, the foreign minister and I discussed the ways in which our two nations can work more closely together on behalf of the people of Pakistan as you continue your journey toward an effective, responsive, and enduring democracy.

In this time of economic challenge, we want to help you to do what you believe is best for your country. In the economic arena, we want to help you with jobs and economic development and the infrastructure that will create investments—access to education, providing more support in healthcare, and in particular, improving the energy supply, something I have heard about in every meeting that I've had with any Pakistani since I became Secretary of State.

Pakistan's energy shortfall poses serious challenges to your economy and to the lives of individual people and businesses. For months, families have endured sweltering heat and evenings spent in the dark without appliances or televisions or computers. And in some places, I'm told that it happened in my own country. Blackouts prompt an increase in crimes. Without power, some factories and small businesses have closed their door, which undermines economic growth. And America wants to help.

Our first initiatives in this field were launched by Ambassador Holbrooke and his team earlier this year. And they've been working closely with Ambassador Patterson and our Embassy here in Islamabad, who have been working closely with your government. We recently completed an extensive energy dialogue with the Pakistani Government, led on our side by our International Energy Coordinator David Goldwyn.

In this collaboration, our experts identified several ways that the United States can help. And today, I am very proud to announce the first phase of a signature energy program for Pakistan which will help repair facilities, improve local energy providers, and promote energy efficiency. These projects, designed in close collaboration with Pakistan's government, will repair and upgrade key power stations across your country which currently operate well below full capacity.

We will help you install new and better equipment at the Tarbela Dam power station on the Indus River. And we will help you repair or replace more than 10,000 tube well pumps nationwide, which will both save energy and increase agricultural productivity. This first phase is only the beginning of our new emphasis on assisting Pakistan in its energy sector. And as we move forward, together, we will, if Congress approves future requests, do far more together.

The foreign minister and I discussed this and many other ways that our nation will strengthen and deepen our relationship. I shared with him, as he shared with me, some of the misperceptions, some of the stereotypes and misinformation that occasionally blocks both of our countries from fully understanding and appreciating each other. Over the course of my visit, I look forward to discussing many issues of concern with business leaders, members of parliament, representatives from civil society, students, women, citizens from the northwest and other parts of the country.

And of course, my time in Pakistan would not be complete without visits to some of Pakistan's extraordinary cultural, religious, and historic sites that make your country so important to Islamic civilization and to the modern Muslim world.

But let me end with this point, the partnership between our countries is not limited to the halls of government. I enjoyed greatly my meeting and the gracious lunch which the foreign minister hosted. But he and I both know that in democracies, there has to be a partnership between the people, and that is what I am aiming to foster. We have a united and shared vision of the kind of future that our children in both countries should be able to enjoy, where each child doesn't have to fear when he or she goes to school or to a market that they may not make it home safely, where the God-given abilities of each child can be nurtured, and then once again, see the fruits of that kind of investment in the benefits to families, communities, and to great nations. Our fates are intertwined in the 21^st century. We are interdependent and interconnected. And I'm betting that we can make the kind of future that the children of our two nations deserve.

Thank you very much.

Q. Madame Secretary (inaudible).

Secretary Clinton. It's a hallmark of a democracy, Minister Qureshi.

Foreign Minister Qureshi. Yes. All is noisy.

Q. Madame Secretary, you said you want to turn the page in our relationship and correct some misperceptions. As you increase the amounts of U.S. economic assistance along the lines that you've discussed, how important is it that the Pakistani people themselves actually know that this assistance in very local projects comes from the United States? And how do you propose to tell them that when U.S. officials have so much difficulty traveling around the country?

And if I might, to the foreign minister, on the question of sharing information and your views on the Administration's strategy review, you said that the Secretary is going to carry Pakistan's views back. Do you feel like those views have been adequately represented thus far, and in particular, on the question of the U.S. decision to begin to remove some of its military units from the Afghan border?

Secretary Clinton. Let me answer the question that was addressed to me and then say something about the question addressed to the foreign minister. Well, we're talking right now in front of—I've lost count of how many cameras and how many journalists are in this audience—to convey both the intent of our Administration to turn that page, but also the specifics. I hope that in the coverage of my visit today there will be notice of the work we are doing together to improve the energy sector, to provide more reliable electricity for the people of Pakistan in a very specific proposal that I have just put forth. I will be visiting with many members of the Pakistani press over the next three days. I will be having town halls, both here and in Lahore. So we are going to reach out and make clear as best as I can what our intentions are and what our commitments are. And it is, of course, important that that be communicated not only in English, but in other languages as well, none of which, unfortunately, I can speak. But I know that others can and that we can convey the sincerity of our commitment.

With respect to the part of your question, Karen, about military outposts, it is actually true that we have more military presence on the border, but we have changed some of the outposts' locations. We have consolidated into some bigger outposts. And we are looking to cooperate with the Pakistani military to determine how best we can jointly address the challenges along the border.

Q. Okay. (Inaudible) from CNBC. We know that we are fighting a war against extremism. In particular, in the last operation, there was a marked shift of mood in people towards Taliban, and that was a huge achievement. And now also today, we lost people on the street. We're losing soldiers in the fight against Taliban. But then we hear confusing messages from American think tanks, where they say that the real enemy is al-Qaida and not really Taliban. For instance, recently, the White House press secretary Robert Gibbs also played down the threat from Taliban, saying that their capability is different from that of al-Qaida. And then, these confusing messages could also confuse a normal man in Pakistan, who have now made up their minds that the real enemy is Taliban. So who is the real enemy?

Secretary Clinton. Thank you for asking that. I mean, we view the extremists and the terrorists as part of a syndicate. They are connected. Al-Qaida has played a role in promoting the Taliban in Pakistan to go against the Pakistani Government, to attack the military headquarters. They cannot be separated at the leadership level. And similarly in Afghanistan, there is a very strong connection.

But what we are saying by the comments that you referred to is that in many conflicts, not just here but around the world, not everyone who picks up a gun is a committed terrorist. They might be a young man who is pushed into joining by people in his community or someone who in Afghanistan doesn't have the way of making a livelihood, and therefore joins up because he gets paid for being a member. So we are very determined to root out the leadership and the lieutenants who are behind these kinds of attacks, who fund them, organize them, train people, recruit suicide bombers, that do what has caused such pain to the people of Pakistan and the people of Afghanistan.

But we are also open to those who change their minds, who renounce violence, are not connected with al-Qaida, and are willing to pursue their views in a peaceful, democratic manner. So that's really what that means. Our resolve against the extremists is as strong as ever, and we are going to take measures against them that we believe will be more effective. So that's what we're trying to demonstrate and convey to people.

Q. (Inaudible) from Dawn news. Are you satisfied with the steps Pakistan's military is taking to take on Afghani network, Hekmatyar group and other such militants who are present, according to the U.S. military reports, in Pakistani territory? And do you agree with the definition of good Taliban?

Secretary Clinton. Well, on the second part, what I was saying is really in response to that, that I don't know about good, but I know that there are people who are caught up in the Taliban movement who may well be less than committed to any cause. They may not even be ideologically in line with what the leadership is doing, but find themselves there. And we've actually seen that happening on both sides of the border. I know from reports from your authorities here in Pakistan that in Swat there were people who came forth and said, “I was forced to be a Taliban. I'm not really one.” And in Afghanistan, people on the battlefield who say, “I don't want to be part of this, but I had no choice.” So that's what we mean. Let's sort out the hard core and make sure we defeat them. But if there are people who wish to renounce violence and begin to get reintegrated back into society, we should at least be open to that and deal with it on a case-by-case, individual-by-individual basis.

Now, you mentioned some of the other networks that we find very troubling. But I think that the Government of Pakistan has been paying a lot of attention to all of these groups because there are connections among all of these groups. But of course, the fight in South Waziristan is of the paramount importance to the government and the people of Pakistan, and we understand that.

Q. Thank you very much.

Secretary Hillary Clinton delivered these closing remarks at a roundtable with business leaders in Lahore, Pakistan

Secretary Clinton. Well, thank you very much, Governor, and I very, very greatly appreciate your facilitating this, and I heartily endorse your last comment about an action plan, because clearly, it would be very helpful to have some kind of document come out of this meeting that would summarize the points that were made and look to see how they could be realized.

Let me just respond both generally and specifically. On the general point, I think it has been challenging for many businesses, as some of you alluded to, to grow and prosper under difficult circumstances, whether it was the era of nationalization or the era of terrorism. You have faced a lot of challenges. And many of you have seen those challenges through and prospered despite them. But I think we have to start from the premise that anything that can be done to improve the business climate has to be done.

And of course, the points that were made are important. Market access has to be greater. We will certainly work on that from our perspective. The reconstruction opportunity zone is just one approach. You also mentioned free trade agreements and other kinds of possible market opening actions. But there are also steps that could be taken, again, alluded to by several of you.

The government is working on a transit trade agreement with Afghanistan. What is the point of that? To open up Central Asia to Pakistan, to create a transit route from Central Asia to Pakistan (inaudible). I mean, anyone who looks at a map of Pakistan sees how strategically located it is between India and China and Iran and, of course, to the north. This is one of the issues that the government's been working on. It's been somewhat delayed because of the inconclusiveness of the Afghan elections. But we're going to work very hard to get this done by the end of the year, and the business community could help. So let the government know it's a priority.

Second, trade with India; one of you mentioned trade with India. I know that this is part of a much larger complex of issues. But I have no doubt that opening up trade between Pakistan and India would be a great boon for Pakistani businesses. And if you look at how small the trade is now, the potential is almost unlimited. But, of course, that is a decision that only the people and governments of Pakistan and India can take for themselves.

Unemployment is rooted in lack of opportunity and lack of skills. There's no doubt about the work ethic, but there is a lot of concern about the education and training of the work force. And that can only be addressed through a system of better education, of training, programs both run by the private sector as well as those in the public sector. And it would certainly be helpful and we would be more than glad to work with you on this if you could see what shortcuts where you're trying to change educational levels over a generation—what could be done in the shorter term to help prepare people for the jobs that are here today as well as the jobs of the future.

I think it's very important, as one of you noted, to look for ways to add value to products. And just in my brief review of the economic prospects for doing that, agriculture stands out. To add value to the agricultural product of Pakistan could revolutionize the income of rural people, create a significant additional opportunity for growth in the GDP. There are some good models around to do that. You mentioned the dairy-cotton-wheat, the needles problems, the waste problems, the water irrigation problems. That's another area that we would be very willing to work with you on because we know that it is income stream for 65 percent of the population.

And we know that there are some fixes that could be made. I know that the government is looking at trying to encourage research into heartier feed stock so that the drought and the other conditions would not be as damaging.

But there also has to be some attention paid to storage facilities, the refrigeration facilities who (inaudible) the market roads, the kind of infrastructure that would add the value and increase the productivity. And it could be done in the space of two years. This has a—this is not like building a field plan or some other big capital investment. This requires a sense of organization with many moving parts, but the payoff is much quicker.

And you may have heard that President Obama asked me to head up our government's food security program, and in our review, what we concluded is that in the 1960s and ‘70s, most of the food aid that not only our government, but other governments and private organizations like the Rockefeller Foundation invested went into agriculture, increasing agricultural productivity.

Somewhere in the 1980s or so, we began to shift out of supporting agriculture to supporting emergency feeding programs and aid. It's backwards, and we need to get back to really investing in agriculture. And I don't know all the reasons why everybody moved away from that, but we've got to get back to it because it is so fundamental. And we've done a lot of work and we'd be happy to share that both with the government and with any of you who are interested; definitely one of our follow-up actions.

There is no doubt that energy is at the heart of many of the economic problems that Pakistan faces—the unreliability, the erratic cross-structure, the failure to capture the full load that is produced. It's just a lot of problems. And one of the things that Ambassador Holbrooke's team has done is to do an in-depth study of what are the most difficult issues, but what could be addressed in a very systematic way.

So as I said earlier, we made our announcement yesterday. But I appreciate the kind of chicken-and-egg issue that you were talking about—the more access, the more economic development, the greater the energy challenges. And I think that there is no prohibition that I know of internationally, and I asked Minister Qureshi whether there had been any prohibition nationally under developing your coal deposits. Now, obviously, that is not the best thing for the climate, but everybody knows that. But many of your neighbors are producing coal faster than they can even talk about it. It's unfortunate, but it's a fact that coal is going to remain a part of the energy load until we can transition to cleaner forms of energy.

So getting the resources to exploit your coal as opposed to being dependent upon imported energy is a choice for you to make, but it is certainly a choice that your neighbors have made. And that's something that should attract foreign investment and should attract capital investment within your own country. And we don't know how we're going to proceed on the climate change issue. We're working hard to come to some framework before Copenhagen, but coal will be, for the foreseeable future, part of the energy mix. And if you have these kinds of reserves, you should see the best and cleanest technology for their extraction and their use going forward.

I appreciate too the idea of a sustainable, long-term partnership, and to highlight the opportunities that exist and to use the tools that are already at our disposal, tools like OPIC or the Export-Import Bank or making sure that travel visas get issued. These are all the kind of nuts-and-bolts issues that we can address and try to resolve together.

But I think too that it is only fair to take a hard look internally about what Pakistan needs to do. And at the risk of maybe sounding undiplomatic, Pakistan has to have more internal investment in your public services and in your business opportunities. By any fair measure, for example, the percentage of taxes of GDP is among the lowest in the world. The United States, we tax ourselves, depending upon who is in power, somewhere between 16 and 23 percent of GDP, and right now, it usually hovers around the 20 percent. You're less than half of that.

And so at some point, when you ask for partnership, you have to ask what the equity state is that Pakistan itself is looking to make, because it is difficult to go to our taxpayers and say we consider Pakistan a strategic partner, we consider it a long-term friend and ally, we have supported it since its inception in 1947, we want to continue to do so, and have our taxpayers and our members of Congress say, well, we want to help those who help themselves, and we tax everything that moves and doesn't move, and that's not what we see happening in Pakistan.

And I can say that because I think there has to be, in any partnership, but more importantly in any plan for your own economic future, a hard look at where you're going to get the resources to meet these needs. You do have somewhere between 170 and 180 million people. Your population is projected to be about 300 million as the current birth rates, which are among the highest in the world, continue—2.6 birth rate. I don't know what you're going to do with that kind of challenge unless you start planning right now.

And despite the fact that you have all of these wonderful assets that we have been talking about, Pakistan ranks at about 142^nd on the Human Development Index. So as we sit here in this absolutely magnificent building, as we talk to people who are educated and worldly and successful, it doesn't reflect what I saw last night when I handed out those certificates to the very poor women who had come to collect them.

So I think that it is important for us to do our part, and I am here to make that commitment. But that partnership and that trust deficit that was referred to can only be dealt with by an open and candid conversation. We have been friends and allies. We've gone through good times and bad times. As somebody said to me earlier in one of my meetings, it's like a marriage; sometimes we just get really put out with each other. And I said yes, but we don't want a divorce. What we want is to keep working to the benefit of our countries and our people, and, from my perspective, to really see the time when Pakistan realizes its destiny. I mean, strategically, geographically, in every sense, it's all there. But it has to be put together by the people of Pakistan.

We are willing to help, and President Obama and I have a very personal commitment to this relationship that we will carry through on. And I look forward to this kind of conversation and then the follow-up call to action and work—the hard work—that's translating the hopes into the reality that's on the ground that will realize the kind of economic prosperity that the people of Pakistan deserve.

Thank you all very much.

Secretary Hillary Clinton delivered these remarks during a “Townterview” with prominent women journalists in Islamabad, Pakistan

Secretary Clinton. I agree with you completely that emphasizing outreach to young people, emphasizing education, are the long-term investments that will pay off. So I think we have to operate on sort of two lines at the same time: one, long term investments; and then short-term relief and the kind of aid programs that people can see the benefits of immediately.

And on healthcare, I'll give you a quick example. During the problems with internally displaced people in Swat, in Malakand, one of the requests we got was for female doctors to work with the women who were IDPs. And what we did was to put out a call to Pakistani American doctors and nurses. And so we sent about a dozen Americans—Pakistani Americans—who were doctors to Swat to care for the women. And that led to another idea, so that we're going to create a Pakistani American foundation so that successful Pakistani Americans can invest in projects back home. And we're going to be kicking that off in December. And I think that according to the people working on it, they're most interested in health and education, and they're most interested in women and children. So we're going to have some additional resources.

And then to go to the question about how do we organize this, well, you're right; we sent Ambassador (inaudible) to come here for the purpose of organizing aid, to reaching out and getting the best ideas from the NGOs, from other voices around Pakistan. Because we know we spent billions of dollars on aid to Pakistan, but I bet there aren't 10 percent of the people of Pakistan who know where that money went. They don't know the projects we've done. They don't know the results of our efforts.

So I think that we have a lot of work to do. We have a lot of work to better organize our aid, to be more responsive to the needs of the people that they expressed to work more effectively with your government, and that's what we're committed to doing.

Q. Thank you so much. I'm senior manager skills development from (inaudible) foundation. I have two questions. Number one is that a lot of U.S. aid money is coming to Pakistan, right? But why are there foreign contractors in war, because most of the money— taxpayer money—goes back to America, the management is there, they have their office in America, they have to give the management cost over there, then they set up an office in Pakistan, the management (inaudible) will do it there. And then some of the money goes back to the people, but quite a lot of money goes into the other contractors. Why is it that (inaudible) the contractors, number one? And number two—

Moderator. I want to give everybody a chance, so one question. Thank you.

Secretary Clinton. Well—

Moderator. Yes, Madame Secretary.

Secretary Clinton. Well, first of all, I share your criticism. And when I became Secretary of State, I asked that there be a review done of all of our aid programs, because I was worried that, number one, not enough of the money was getting to where it was intended, for all kinds of reasons. And number two, we weren't getting the results that we were looking for. We actually stopped a lot of the aid programs until we had a chance to review them. And I am determined to take on this problem that you talked about.

And I'll give you a quick example. After the earthquake a couple of years ago, the Government of Pakistan asked for our help to try to rebuild and build schools, and we said we would. But they adopted a different model, and the different model was that we wanted to hire Pakistani engineers, Pakistani architects, Pakistani contractors, and of course, Pakistani workers, because unlike some countries, we do employ a lot more Pakistanis than some countries do. They bring all their workers from the outside, but we have a mix of workers. But we wanted to try a different approach. And I think of the people that were directly hired—there were 202 and there were only two Americans and there were 200 Pakistanis, so I just got a report about that. That's the kind of model that we are looking to follow now. We want more of the money pushed down to the local level.

Now, we do have to have accountability, and that's not micromanaging. We have to be able to go back to the American taxpayer and the American Congress and say, “You said you wanted money spent to help education, for example, in Pakistan. We put X millions of dollars in, and we can show you the results.” So we want to do it both ways: more Pakistanis on the ground delivering the services, but there has to be some accountability so that we know we're getting what you all are trying to achieve.

Q. I have a question based on aid coming to Pakistan. And it's about pledges versus the funds actually coming through. Primarily, when the IDP situation happened, more than 2 million people were displaced in Pakistan. Yes, I visited those camps as many of my colleagues here did. And the people there felt that the international community had forgotten of them. We saw pledges and funds coming through to places like Darfur, so when Pakistan was (inaudible), people weren't listening because they felt that Pakistan had brought the terrorists upon themselves. And there was a lot of pledges that are being made, but funding is not coming through. And the same with the FODP—a lot of pledges, the money is not coming through.

Secretary Clinton. Well, let me test the audience and ask if any of you know how much money—I can only speak for the United States, but how much money we have already spent—not pledged, but spent—on the IDPs in Swat. Does anybody have any idea?

We have spent $300 million. But I bet hardly anybody knows that. And it's very frustrating for us. Because I agree with you; the international community has to do more, and we are pushing them to do more. At the pledging conference in Tokyo, about $5 billion was pledged, and we pledged about a billion dollars and we have already spent or contributed $400 million of that.

So I hope you understand my concern that we feel like we're doing things and we're not getting through. We're not being very effective, and that's our fault. We are not communicating very effectively to the people of Pakistan. So I want to do a better job of that. And I'm not asking that people applaud us. I just want people to know, because I want to work from a base of facts.

Q. But in terms of the (inaudible), how much pressure or encouragement is the U.S. giving to the international community to follow suit?

Secretary Clinton. We are pushing all the time, and it's a very fair question. We're putting more money into the United Nations High Commission for Refugees for the people displaced out of South Waziristan, and we've gone to the UN, and we've gone to the international community and we said you've got to help Pakistan because they're taking on this threat which is a common threat. And we're going to keep pushing them until we get some more results from them.

Moderator. Madame Secretary, we have some—I have a question myself, and that question is that a United committee—a United Nations committee has just ruled or suggested that drone attacks may constitute a violation of international law, and it constitutes the execution of people without a trial. And the Pakistan parliament, of course, has also requested that these drone attacks be stopped, yet they continue, and the Pakistani people have begun to resent them and associate them with U.S. policy towards Pakistan as a whole.

Secretary Clinton. Well, I think what's important here is that there is a war going on, as several of you have said, and I won't comment on that specific matter because of the fact that if you look at what has to be done in this war, the Pakistani military is using what are called S-BEC-C's. These are very powerful planes that drop bombs. And in a war, you go after the people who are your enemies, but sometimes—and regrettably, sometimes that's not the only people who get caught up in it.

But I think that given the nature of this war that is being fought against an enemy that is very hard to find, very hard to pin down, very hard to capture or kill, that engages in activities like the bombing of the women's market in Peshawar, that it is understandable that as Pakistan fights this war, they want whatever help they can get, not just from us, but from others. They buy military equipment from other countries, not just the United States. But I think that winning this war is in Pakistan's national security interests, and we're going to do all we can to help you.

Q. Madame Secretary, my name is (inaudible) from Peshawar University. First of all, I would like to admire you to have come to Pakistan in such crucial times. And second, there is a very general question I would like to ask, that what is actually terrorism in U.S. eyes? Is it the killing of innocent people in, let's say, drone attacks? Or is it, again, the killing of—a vengeful killing of innocent people in different parts of Pakistan, like the bomb blast in Peshawar two days ago? Which one is terrorism, do you think?

Secretary Clinton. I only heard your second one about the—

Moderator. Okay, basically the question was that victims of drone attacks, is that terrorism, or people being killed in a marketplace in Peshawar, is that terrorism? In the United States—do you perceive both victims as victims of terrorism?

Secretary Clinton. No, I do not. I do not.

Secretary Hillary Clinton delivered this statement in Washington, DC

Secretary Clinton. On Tuesday, President Obama presented an overview of our country's strategy for engagement in Afghanistan and with Pakistan. This strategy is the product of broad consultation, including with many of our partners in Pakistan.

We join the people of Pakistan in our deep concern about the threat posed by al-Qaida and its extremist allies. We condemn the violence that has been inflicted on innocent Pakistani people in recent months with bombings and other brutal assaults targeting civilians, your military, and other important aspects of your country and society. We are committed to Pakistan's security, stability, and sovereignty for the long term.

President Obama's strategy reflects our nation's commitment to building a broad partnership with the Pakistani people, one based on common values and a shared commitment to democratic rule, robust economic development, the defeat of militants and terrorists who hide along your western border, and the safety and security of all Pakistanis.

We've already begun to implement elements of President Obama's strategy. We have requested a significant increase in economic development assistance, including through the landmark Kerry-Lugar-Berman legislation. We are launching initiatives to help strengthen Pakistan's infrastructure, especially in energy and water, which is what the Pakistani people have told us you need, so you can have the resources you require in your homes, schools, and businesses.

And we are committed to strengthening Pakistan's public institutions so that all people have access to security, education, justice, and most importantly, economic opportunity. As President Obama discussed, the United States has a strong and steadfast interest in Pakistan and Afghanistan's long-term security and stability. We are determined to work with you as partners in helping you build a stronger nation to make sure your country is not a safe haven for al-Qaida and other violent extremists who threaten your very state.

We know that this is a goal that is important to you as well. We look forward to strengthening and continuing the partnership not only between our governments, but between our people in the months and years to come. Thank you all very much.

Secretary Hillary Clinton was interviewed in West Point, NY by Sami Abraham of Geo TV

Q. Secretary, thank you very much for being with us. Tell us, it was said before announcing the Afghan policy that Pakistani point of view will be taken into consideration and Pakistanis they have expressed their concern about surge of troops inside Afghanistan how the Pakistanis concerns have been addressed in this new strategy.

Secretary Clinton. Well, there was a great deal of consultation of course, when I visited the country. I spent time talking with both leaders of government as well as the military and intelligence services. I spoke with other representatives, citizens, our national security advisor General Jones, head of CIA Leon Panetta, General McChrystal and General Petraeus. We have been consulting on an ongoing basis with our counterparts in Pakistan. And I think what the President will announce today is very much in keeping with what we heard. Every one wants a stable and secure Afghanistan. Pakistan does not want to see problems being exported to your country. They want to see Afghanistan with the ability to defend itself. Al-Qaida and their extremist allies are threatening to every one. We know that the terrible violence that has been afflicted on the people of Pakistan over the last week emanates from a syndicate of terror. So we want to help Afghanistan take more responsibility. We want to partner with Pakistan as you make sure that you protect your sovereignty and territory. We think that in the long term, that is in the best interest of all three countries.

Q. Madam Secretary, keeping in mind the political situation in Pakistan, do you believe that the present government—the political government is able to deliver what the world is expecting of them?

Secretary Clinton. Well, democracy builds strong institutions and I think Pakistan is committed to democracy. Your internal political challenges are ones for you to address but we want to support democracy of Pakistan. We want to do so in a way that will strengthen it and will give the people of Pakistan the kind of future they tell us that they want. We have expressed here all the time, schools for every one, healthcare for every one, better jobs for every one. That's what every one wants and I think what we want to do is to be a good partner to help you achieve that.

Q. Secretary, thank you very much.

Secretary Clinton. Nice to talk with you.

Secretary Hillary Clinton was interviewed in Washington, DC by Amir Zia of SAMAA TV

Q. Thank you, Madame Secretary. This is Amir Zia and welcome to SAMAA TV program Qaum Kay Samnay. I will start off with the most immediate topical subject. After the U.S. forces surge in Afghanistan, will the allied forces secure the borders—Pakistan, Afghanistan border—or will it be left to Pakistan to defend the border, because it suspects movement of militants from Afghanistan into Pakistan?

Secretary Clinton. We want to work closely with Pakistan. I think the additional troops that are going in will give the Afghan side of the border more protection. But we have to coordinate closely, because we know very well that this border is in such difficult terrain and it is hard to secure all of it, but we need more joint efforts on both sides, and we need to have the good advice and guidance of the Pakistani military to tell us where we should be, and we'll work closely together.

Q. And in the past, Pakistan had proposed to fence the long border with Afghanistan, but Kabul rejected this proposal. So what is your take on this proposal?

Secretary Clinton. Well, I know that Pakistan has fenced certain areas, particularly remote areas, and used other techniques to try to secure the border. We will work with Pakistan and we will also look for ways that can provide security in difficult-to-guard places, because we have problems securing our border with Mexico. I mean, securing borders is extremely difficult. So we have a lot of sympathy for the challenges that the Pakistanis are facing. But we just have to keep working at it and get better at how we protect the border.

Q. On the question of feared possible influx of militants who might try to sneak into Pakistani areas, what does U.S. plan to coordinate with Pakistan? Will the U.S. support Pakistan in security and financial, because Pakistan already has the largest population of refugees in the world?

Secretary Clinton. And we want to do a better job of coordinating with Pakistan. Of course, we currently are providing military and civilian aid in order to assist both the Pakistani Government and the Pakistani military and, most importantly, the Pakistani people. We've provided more aid than anyone for refugees, because we believe strongly that what Pakistan is doing in going after the militants, first in Swat and now in Waziristan, is very much in Pakistan's interest, but it's also in Afghanistan's interest and it's in the interest of the world, because these terrorists are now becoming a real threat to the state of Pakistan.

And—so we will continue to offer whatever assistance we can in order to support what the Pakistani military is doing.

Q. Madame Secretary, Pakistan also has concerns about India's engagement in Afghanistan and it alleges that some of the militants, some of the nationalists in Baluchistan province, they are given support by Indian officials to start up trouble in that province. Any (inaudible) Pakistan's concerns on that account?

Secretary Clinton. Well, we think, very strongly, that it is in both Pakistan's and India's interest to get back to a dialogue and to try to address every one of these issues in an open way. It is not in India's interest for Pakistan to be destabilized. It is not in Pakistan's interest for Afghanistan to be destabilized. This neighborhood is now at risk because of the presence of terrorists who wish to destabilize India, Pakistan, and Afghanistan. So the historical issues that, certainly are very significant between India and Pakistan, have to be addressed by the two countries, because otherwise you will think the worst of each other, and terrorists will try to create war between India and Pakistan, because that would further their gain as they did with Mumbai.

And that means that if you don't try to have a dialogue again, where you can constantly be exchanging information and asking for proof and evidence of what you are worried about, you both could be at risk by the terrorists who have no concern about human life, who have no allegiance to Pakistan, who have only their own vision about what they would like to see happen. And I don't think that most people in Pakistan, or frankly, most people in India, would like to see that.

Q. And so the U.S. will welcome the resumption of talks between Pakistan and India, and also does U.S. encourage the two countries to solve some of the old problems, like Kashmir?

Secretary Clinton. Yes, absolutely. We know that no one on the outside can solve these problems. It can only be solved by the two countries themselves having that kind of ongoing dialogue. So we've encouraged both Pakistan and India to resume that dialogue and to talk about everything, including Kashmir, because now the security of both countries is threatened by these forces of extremism. And I believe that a lot of these terrorist groups are funded, directed, equipped, and trained by outside forces, not people from Pakistan, not people from India, but people who wish to see the two countries at— in conflict, and I think that is so critical to avoid. And the only way to avoid it is by getting back into a dialogue.