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Summary:
Major areas of U.S. concern in Pakistan include the proliferation of weapons of mass destruction; counter-terrorism; settlement of the Kashmir dispute; democratization and human rights; and economic reform and development. A potential Pakistan-India nuclear arms race continues to be the focus of U.S. nonproliferation efforts in South Asia and a central issue in U.S. relations with both countries. This attention intensified following nuclear tests by both India and Pakistan in May 1998. South Asia is viewed by some observers as a likely prospect for use of such weapons, where both countries have deployed nuclear-capable ballistic missiles. India and Pakistan have fought three full-scale wars since 1947. Pakistan-U.S. cooperation began in the mid-1950s as a security arrangement growing from U.S. concerns about Soviet expansionism and Pakistan's fear of neighboring India. Cooperation peaked during the 1979-89 Soviet occupation of Afghanistan. Pakistan-U.S. ties weakened following the October 1990 cutoff of U.S. aid and arms sales, which were suspended by President Bush under Section 620E(e) of the Foreign Assistance Act (the so-called Pressler Amendment). Further U.S. sanctions were imposed on Pakistan (and India) as a result of their 1998 nuclear tests. The see-saw Pakistan-U.S. relationship has been on the upswing following Pakistan's enlistment as a frontline state in the U.S.-led anti-terror efforts resulting from the September 2001 attacks on the United States. Nuclear-related sanctions on Pakistan and India have been waived; Congress also has given the President authority to waive couprelated sanctions on Pakistan. Islamabad continues to make important contributions to U.S.-led anti-terror operations in the region. Separatist violence in the Kashmir region continues. India blames Pakistan for the ongoing infiltration of Islamic militants into Indian Kashmir, a charge that Islamabad denies. The United States has received a pledge from the Musharraf government that all "cross-border terrorism" in the region will be ended. The United States considers a stable, democratic, economically thriving Pakistan as key to U.S. interests in South, Central, and West Asia. Although ruled by military regimes for half of its existence, Pakistan had democratically elected governments from 1988 to 1999. During that period, Benazir Bhutto and Nawaz Sharif each served twice as prime minister. Neither leader served a full term, being dismissed by the president under constitutional provisions that have been used to dismiss four governments since 1985. In October 1999, the government of Prime Minister Sharif was ousted in a bloodless coup led by Chief of Army Staff Gen. Pervez Musharraf. Musharraf has since assumed the title of President, a move ostensibly legitimized by a controversial April 2002 referendum. The United States has strongly urged the Pakistan military government to restore the country to civilian democratic rule. National elections held in October 2002 resulted in no clear majority party emerging and were marked by significant gains for a coalition of Islamic parties. Pakistan continues to face many serious problems, including a beleaguered economy, corruption, terrorism, and poor governance. Pakistan will receive well over one billion dollars in U.S. assistance and several billion dollars from international organizations to help strengthen the country as a strategically important state.