The US military has announced it is to cancel $300 million in aid to Pakistan.
The Pentagon accused authorities in Pakistan of failing to tackled armed groups.
In a statement quoted by Al Jazeera, a Pentagon spokesperson said: "Due to a lack of Pakistani decisive actions in support of the South Asia Strategy, the remaining $300m was reprogrammed.
"We continue to press Pakistan to indiscriminately target all terrorist groups."
Officials in the US are planning to redistribute the Coalition Support Funds for "other urgent priorities", the spokesperson added, but noted that the move will require congressional approval.
The South Asia Strategy refers to US efforts in Afghanistan, Pakistan, India, the Central Asian nations and extends into Southeast Asia, with the aim of "bolstering American security".
Donald Trump has previously criticised Pakistan, accusing the government there of giving "safe haven to agents of chaos, violence and terror".
He has also called on the country to "demonstrate its commitment to civilisation, order and to peace.”
The United States has foolishly given Pakistan more than 33 billion dollars in aid over the last 15 years, and they have given us nothing but lies & deceit, thinking of our leaders as fools. They give safe haven to the terrorists we hunt in Afghanistan, with little help. No more!
— Donald J. Trump (@realDonaldTrump) January 1, 2018
Earlier this year, the US announced that it planned to suspend almost all security assistance to Pakistan - with the latest funding cut part of that broader suspension.