Bangladesh reportedly seeks billions in undivided Pakistan’s assets

DHAKA: Bangladesh is reportedly preparing to formally present its demand for $4.52 billion in pre-1971 shared financial assets from Pakistan, the Business Standard reported only Wednesday.

The Dhaka-based publication revealed that Bangladesh is asserting its claim to a share of the undivided Pakistan’s pre-1971 assets. The claim encompasses various components, including foreign aid, provident funds, and savings instruments.

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The issue is set to be discussed during the foreign secretary-level talks scheduled for April 17 in Dhaka, marking the first such meeting in a decade and a half.

One of the most contentious points in this claim is the $200 million in foreign aid that was allocated to the then-East Pakistan following the catastrophic 1970 Bhola cyclone.

Bangladesh claims the amount was deposited with the Dhaka brand of the State Bank of Pakistan but was subsequently transferred to the Lahore branch during the tumultuous period of the Fall of Dhaka.

The transfer has become a focal point of the former East Pakistan’s claims.

Bangladesh is also claiming that its civil servants who served in West Pakistan returned home after creation of Bangladesh, only to apparently discover that their provident fund balances and savings instruments had not been refunded.

The ‘grievances’ are now part of the broader $4.52 billion claim that Bangladesh is now pursuing.

The foreign ministry of Bangladesh has reportedly compiled extensive ‘evidence’ from the Bangladesh Bank to support its claims, detailing the various components of the outstanding amount.

The issue is expected to be a significant topic of discussion during the upcoming foreign minister-level talks later in April.

Historically, the relationship between Pakistan and Bangladesh has been fraught with tension since the latter’s independence in 1971. The last foreign secretary-level meeting between the two nations occurred in 2010, during which Bangladesh reiterated its claim for a ‘fair’ share of undivided Pakistan’s assets.

The discussions also included calls for a formal apology from Pakistan for the events of 1971, which Bangladesh describes as ‘genocide’ and the repatriation of stranded Pakistanis.

The ongoing animosity from Bangladesh’s side towards Pakistan, rooted in historical grievances and unresolved financial disputes, has continued to define the diplomatic landscape between the two South Asian nations.

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As the former East Pakistan raises its claims, the potential for dialogue and resolution is extremely uncertain.