New Delhi: In a major setback for Pakistan, the US military has announced that it was cancelling $300 million in aid to the country over what it calls Islamabad's failure to take action against militant groups. As per the report, Pentagon spokesman Lt Col Kone Faulkner on Saturday said the US military would aim to spend the money on other "urgent priorities".

Col Faulkner said, "We continue to press Pakistan to indiscriminately target all terrorist groups." The $300 million aid - which had earlier been suspended - should be used elsewhere due to "a lack of Pakistani decisive actions" in tackling the issue, he added as saying in a statement.

The announcement comes just days before US Secretary of State Mike Pompeo is due to visit Pakistan to meet the country's new Prime Minister Imran Khan. President Donald Trump has previously accused Pakistan of deceiving the US while receiving billions of dollars.

The US state department has also slammed Pakistan for failing to deal with terrorist networks operating on its soil, including the Haqqani network and the Afghan Taliban. In January, the US government announced it was cutting almost all security aid to the country.