US lawmaker: International Aid recipients face sacrifices

Countries that get US aid, such as Pakistan, will have to shoulder more of the burden for their own growth as Washington eyes deep cuts in overseas assistance, a top US lawmaker warns. ”Greater sacrifice by aid recipients is required to sustain the generosity of the American people," said Representative Nita Lowey, the top Democrat on the House of Representatives Subcommittee that manages US aid flows.

"For example, Pakistan, which receives $1.5 billion per year in civilian aid alone, has one of the lowest effective tax rates in the world. Fewer than 3 million of the 175 million Pakistanis pay any taxes, and tax evasion is particularly high among the wealthy, according to the Carnegie Endowment for International Peace," said Lowey.

Her message echoed US Secretary of State Hillary Clinton's call in September 2010 for the US ally to increase taxes on its wealthiest earners. "It's one of my pet peeves: Countries that will not tax their elite, who expect us to come in and help them serve their people, are just not going to get the kind of help from us that historically they may have," said Clinton.

[AFP]