SOUTH ASIA

We seek a South Asia comprising sovereign and stable states, free of

outside interference, which can strengthen their political institutions

according to their own national genius and can develop their economies for

the betterment of their people.

The Soviet invasion of Afghanistan has posed a new challenge to this

region, and particularly to neighboring Pakistan. We are engaged in a

continuing dialogue with the Pakistan government concerning its development

and security requirements and the economic burden imposed by Afghan

refugees who have fled to Pakistan. We are participating with other aid

consortium members in debt rescheduling and will continue to cooperate

through the UNHCR in providing refugee assistance. We remain committed to

Pakistan's territorial integrity and independence.

Developments in the broad South/Southwest Asian region have also lent a new

importance to our relations with India, the largest and strongest power in

the area. We share India's interest in a more constructive relationship.

Indian policies and perceptions at times differ from our own, and we have

established a candid dialogue with this sister democracy which seeks to

avoid the misunderstandings which have sometimes complicated our ties.

We attach major importance to strong economic assistance programs to the

countries in the area, which include a majority of the poor of the

non-Communist world. We believe that these programs will help achieve

stability in the area, an objective we share with the countries in the

region. Great progress has been achieved by these countries in increasing

food production; international cooperation in harnessing the great river

resources of South Asia would contribute further to this goal and help to

increase energy production.

We continue to give high priority to our non-proliferation goals in the

area in the context of our broad global and regional priorities. The

decision to continue supply of nuclear fuel to the Indian Tarapur reactors

was sensitive to this effort.

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