Biden’s Budget Proposal: Implications for Pakistan’s Diplomatic Landscape

By Newztodays Team

Amid the campaign for the upcoming election in the United States (US), Biden has unveiled the US budget proposal which focuses on curtailing the influence of Russia and China in the region.

Meanwhile, Pakistan has been enjoying good relations with China and struggling to improve relations with Russia through oil diplomacy.

US President Joe Biden has unveiled a draft budget for the next fiscal year that outlines his policy proposals.

Biden has released the budget proposal amid a plan to run a second four-year term election in November this year.

So, what could be its impacts and implications for Pakistan-China relations and further struggle to boost relations with Russia?

In the $7.266 trillion budget for fiscal year 2025, Biden plans to increase taxes on corporations and higher earners to cut the deficit. He further plans to increase spending on “mandatory social programs”.

Biden administration aims to increase spending by $300 billion compared to the previous year.

According to the report, it aims to spend $900 billion on “discretionary” defense programs.

This included $1.5 billion to counter “the Kremlin’s aggression”. This means a huge amount would be spent against Russia in the Ukraine war.   

Out of the total budget, what is more important? Yes, Biden’s budget proposal included $25 million in spending to counter Russian influence in Africa.

According to the US, Russia is said to have increased its political and economic presence in the African continent in recent years.

This follows the launch of the Western sanctions campaign launched against Russia in 2022.

China is another country that features prominently in Biden’s US budget proposal.

It plans to spend $400 million to counter Chinese global influence.

Along with spending on combating China and Russia’s influence, it also planned to spend $20 billion in modernizing its nuclear programs.

The US nuclear plan aims at boosting the security of the United States and its allies including Europe.

Republicans in the House of Representatives have strongly reacted to these proposals, describing Biden’s proposed 2025 budget as a “roadmap to accelerate America’s decline,”.

They issued a joint statement released on social media by Speaker Mike Johnson.

In a statement, they also accused the Biden administration of “reckless spending” and a “runaway spending spree” disregarding fiscal responsibility.Russia backs Pakistan’s bid to join BRICS

Though Biden’s US budget proposal has ambitious plans of spending through the US government’s debt crossed the $34 trillion mark in December amid a swelling budget deficit.

Total outstanding borrowing by the US federal government now amounts to over $34.5 trillion.

Impacts on Pakistan

Biden is struggling to come for a second term in the wake of upcoming elections in November this year.

Biden had not been happy with the Imran Khan Government and even had not extended an invitation to attend an “oath-taking ceremony”. Rather he had extended the invitation to Asif Ali Zardari who has come into power for the second time as President.

PTI leader Imran Khan had launched a narrative against the Biden administration for throwing out his government.

During the entire tenure of Imran Khan, Biden had never held a telephone call.

But soon, Imran Khan was out of power, he held a meeting with then Prime Minister Shahbaz Sharif, and even a photo session was held.

Now, Shahbaz Sharif is the prime minister, and Asif Ali Zardari is the president of Pakistan.

Both leaders are considered to be “favorites” of US President Biden.

Shahbaz Sharif is also an ideal Prime Minister for China who has stated “ being keen to move to next phase of China-Pak Economic Corridor (CPEC).

In such a situation when Biden has allocated funds in the US budget proposal to counter Chinese influence globally.

Then, what will be the future of CPEC if Biden comes into power again for a second term?

On the Russia front, Pakistan is working on oil diplomacy to boost economic and diplomatic relations.

So, if Biden is elected President for a second term, complications for Pakistan will intensify.

Experts also believed that Donald Trump could win elections and become President.

So, if Trump is in power again, it will influence the domestic politics of Pakistan.

That will be a good sign for PTI leader Imran Khan and a bad omen for the Shahbaz and Zardari government.