American politician of Indian origin, Vivek Ramaswamy has questioned the bizarre allocation of taxpayer funds for a hotel owned by Pakistan. Ramaswamy posted on X (formerly Twitter), expressing outrage at the arrangement. He argued that taxpayers in New York City are effectively paying a foreign government to house illegal migrants on American soil, calling the situation “nuts.”
Vivek Ramaswamy was replying to author John LeFevre’s post on X which read: “The city of New York pays $220 million to rent the entire Roosevelt Hotel in Manhattan to house illegal migrants. The hotel is owned by the government of Pakistan, and the deal was part of a $1.1 billion IMF bailout package to help Pakistan avoid defaulting on their international debt. Prior to this sweetheart deal, the hotel had been closed since 2020, having long-struggled with occupancy and in dire need of renovation.”
Le Favre was clearly indicating that the deal was some sort of a sweetener between some big parties and has backchannels to it, as the New York taxpayers are paying millions for a hotel that is not even owned by them. He also linked it to the IMF bailout deal offered to Pakistan, as apparently the hotel was also part of the arrangement.
In response Ramaswamy wrote, “A taxpayer-funded hotel for illegal migrants is owned by the Pakistani government which means NYC taxpayers are effectively paying a foreign government to house illegals in our own country. This is nuts.”
The Roosevelt Hotel, a 19-storey hotel is now rented by New York City to provide shelter to illegal immigrants. It has over 1,200 rooms. The hotel was shut down for renovation, before it was rented out by New York City. A once-iconic property in the heart of Manhattan, it has long struggled with occupancy issues and was in need of renovations before the deal. The decision to rent it for housing migrants comes amid an ongoing migrant crisis in the US, with cities grappling with how to accommodate the growing number of refugees.
Undocumented immigrants are currently staying at the Roosevelt Hotel, which has been shuttered since 2020 due to cheap occupancy rates and restoration requirements. The hotel and New York City have a three-year lease arrangement in place. Over time, this arrangement is anticipated to generate significant revenue for the Pakistani government.
In 2023, the Pakistan government leased the Roosevelt Hotel, owned by Pakistan International Airlines (PIA), to the New York City Administration for three years in exchange for USD 220 million, according to a report by Dawn. At the time, Khawaja Saad Rafique, Pakistan’s Federal Minister for Railways and Aviation, confirmed that a contract had been signed between the government and the NYC administration. He further stated that the hotel will be given back to Pakistan after the lease period is over. “The lease agreement is expected to generate revenues to the tune of around USD 220 million for the Pakistan government,” Rafique had stated in July.
Ramaswamy will soon be taking charge of the newly established Department of Government Efficiency (DOGE). In a recent announcement, the US President-elect Donald Trump revealed that the Tesla billionaire Elon Musk will be taking control of the department alongside the Indian-origin entrepreneur Vivek Ramaswamy. Trump has categorically stated that he will make sure to block the entry of illegal immigrants and hence this statement by Ramaswamy is sure to bring light to such efforts.
