U.S. aid to Pakistan shrinks amid mounting frustration over militants

A State Department contractor adjust a Pakistan national flag before a meeting between U.S. Secretary of State John Kerry and Pakistan's Interior Minister Chaudhry Nisar Ali Khan on the sidelines of the White House Summit on Countering Violent Extremism at the State Department in Washington February 19, 2015. REUTERS/Joshua Roberts

WASHINGTON (Reuters) - Pakistan's continued support for resurgent militant groups hostile to the United States, coupled with warming U.S. military and business relations with India, is sharply diminishing Islamabad’s strategic importance as an ally to Washington, U.S. military, diplomatic, and intelligence officials and outside experts said.

The United States has cut both military and economic aid to Pakistan sharply in recent years, reflecting mounting frustration among a growing number of officials with the nuclear-armed country's support for the Taliban in neighbouring Afghanistan.