U.S. policy on Pakistan isn't working, and unless Washington fundamentally reverses course, it risks losing the war in Afghanistan and making the West an increasing target of jihadists. That is the key message emerging from the recent terrorist assaults in Mumbai.

U.S. aid to Islamabad is now close to $2 billion a year, placing Pakistan as one of the three top recipients of American assistance along with Israel and Egypt. In fact, on the eve of the Mumbai attacks, the United States persuaded the International Monetary Fund to hand a near-bankrupt Pakistan an economic lifeline in the form of a $7.6 billion aid package, with no strings attached.

Despite such largess, Pakistan is host to the world's most-wanted men and the main al-Qaida sanctuary. Recent polling shows that Osama bin Laden is more popular in Pakistan than ever, even as America's negative rating there has soared.