China’s debt-trap diplomacy

[Syed Haseeb Sultan]

کیا اردو میں پوسٹ کیا جا سکتا ہے؟

 

[Verve]

Indians are extremely concerned about Pakistan's well being when it comes to CPEC!!

At the same time they want to free Balochistan, take Sindh, take AJk, take GB, and support KP+FATA merging in to Afghanistan.

Infact the Hallucinating Hindu is actually worried that with Chinese loaned infrastructure on these lands they won't be able to take anything without a war with China (that they can't afford).

 

[Nanga Tarzan]

It is so funny to see not one Chinese PDF poster is countering the points.
Is China giving these countries freebies? No, they are loans!
Is China sending in their workers to these countries? Yes
Is China docking their navy in these countries? Yes
Is China going to let off these countries if they fail to repay the loans? You tell me
Can these countries raise their voice against China? Lol we all know the answer to that

But lets just post memes and pretend all is okay. I get why Chinese posters are doing it but Pakistani PDF members for a moment need to forget the fact that who wrote this report but consider if they are giving China too much influence. You are taking $50Bn from China, thats 1/5th of your GDP. What happens if Pakistan starts defaulting?

Even if you were able to convince the Pakistani folks here about the sinister designs behind CPEC, it won't really matter because the folks on this forum have no say in running their country.

 

[Path-Finder]

Even if you were able to convince the Pakistani folks here about the sinister designs behind CPEC, it won't really matter because the folks on this forum have no say in running their country.

Please don't feking convince us of any thing here and keep your nose out of our affairs.

Do u wanna know what it means to influence a country?
Hint: it's what India did with Nepal

Can u say that China did the same with Pakistan using its CPEC investment as leverage?
If China would've been in control, our politicians wouldn't have been able to create hurdles for CPEC and bicker which routes are better than others.

This whole idea of China's hegemonic ambitions towards Pakistan is nothing but Indian fantasy.

Indian logic:

India aligns with US against China = India's successful multidimensional diplomacy/For securing India's interests

Pakistan aligns with China against India = Pakistan has become China's colony

Just to add Sri Lanka in the past until tamil tigers were defeated. These indians create these bull crap to do what? shown concern somehow and yet on the other hand are doing everything to destroy Pakistan.

 

[shhh]

--------
If there is one thing at which China’s leaders truly excel, it is the use of economic tools to advance their country’s geostrategic interests. Through its $1 trillion “One Belt, One Road” initiative, China is supporting infrastructure projects in strategically located developing countries, often by extending huge loans to their governments. As a result, countries are becoming ensnared in a debt trap that leaves them vulnerable to China’s influence.

Debt trap isn't something that Pakistan is not already aware of.
You need to go a little back in time of your own country and look at the debt they took from USA.
Was India capable of standing upto USA or USSR if it failed to repay the debt?
Even today the risk of default is higher for India than for Pakistan.

Of course, extending loans for infrastructure projects is not inherently bad. But the projects that China is supporting are often intended not to support the local economy, but to facilitate Chinese access to natural resources, or to open the market for low-cost and shoddy Chinese goods. In many cases, China even sends its own construction workers, minimizing the number of local jobs that are created.

This is an opinion, not really a fact.
Besides extracting resources from the host country is going to benefit the host country.
Pakistan retains complete ownership of the infrastructure.

Several of the projects that have been completed are now bleeding money. For example, Sri Lanka’s Mattala Rajapaksa International Airport, which opened in 2013 near Hambantota, has been dubbed the world’s emptiest.

Sri-lanka did not take a loan to do something like CPEC.
They wanted to develop a port city, it was for Sri-Lanka's own benefit.
They could have taken the loan from any other country or institute and would have fallen in exactly the same trap.
What's sinister about China's plans here? Its not that China didn't let them succeed. That was upto Sri-Lanka.

Likewise, Hambantota’s Magampura Mahinda Rajapaksa Port remains largely idle, as does the multibillion-dollar Gwadar port in Pakistan. For China, however, these projects are operating exactly as needed: Chinese attack submarines have twice docked at Sri Lankan ports, and two Chinese warships were recently pressed into service for Gwadar port security.

Multi-billion dollars have not been spent on Gawadar yet.
Chinese ships have docked here before too, thats not CPEC specific, you seem to forget that Pakistan is buying 8 modern Chinese submarines for the security of CPEC.

In a sense, it is even better for China that the projects don’t do well. After all, the heavier the debt burden on smaller countries, the greater China’s own leverage becomes.

Off course, but that is not China's evil plan, that is a complete hate-filled view of the situation.
Had we took the loan from IMF/Worldbank/etc would the situation be any different?

Moreover, some countries, overwhelmed by their debts to China, are being forced to sell to it stakes in Chinese-financed projects or hand over their management to Chinese state-owned firms. In financially risky countries, China now demands majority ownership up front. For example, China clinched a deal with Nepal this month to build another largely Chinese-owned dam there, with its state-run China Three Gorges Corporation taking a 75% stake.

As if that were not enough, China is taking steps to ensure that countries will not be able to escape their debts. In exchange for rescheduling repayment, China is requiring countries to award it contracts for additional projects, thereby making their debt crises interminable. Last October, China cancelled $90 million of Cambodia’s debt, only to secure major new contracts.

That is those country's mis-management of the loan.

Some developing economies are regretting their decision to accept Chinese loans. Protests have erupted over widespread joblessness, purportedly caused by Chinese dumping of goods, which is killing off local manufacturing, and exacerbated by China’s import of workers for its own projects.

Some developing countries are also regretting loans taken from IMF/Worldbank/etc.

That's the thing about the loans, they are dangerous.

New governments in several countries, from Nigeria to Sri Lanka, have ordered investigations into alleged Chinese bribery of the previous leadership.

A point to ponder.

In retrospect, China’s designs might seem obvious. But the decision by many developing countries to accept Chinese loans was, in many ways, understandable. Neglected by institutional investors, they had major unmet infrastructure needs. So when China showed up, promising benevolent investment and easy credit, they were all in. It became clear only later that China’s real objectives were commercial penetration and strategic leverage; by then, it was too late, and countries were trapped in a vicious cycle.

We have already been there, its not something new.

Sri Lanka is Exhibit A. Though small, the country is strategically located between China’s eastern ports and the Mediterranean. Chinese President Xi Jinping has called it vital to the completion of the maritime Silk Road.

China began investing heavily in Sri Lanka during the quasi-autocratic nine-year rule of President Mahinda Rajapaksa, and China shielded Rajapaksa at the UN from allegations of war crimes. China quickly became Sri Lanka’s leading investor and lender, and its second-largest trading partner, giving it substantial diplomatic leverage.

It was smooth sailing for China, until Rajapaksa was unexpectedly defeated in the early 2015 election by Maithripala Sirisena, who had campaigned on the promise to extricate Sri Lanka from the Chinese debt trap. True to his word, he suspended work on major Chinese projects.

Unrelated.

But it was too late: Sri Lanka’s government was already on the brink of default. So, as a Chinese state mouthpiece crowed, Sri Lanka had no choice but “to turn around and embrace China again”. Sirisena, in need of more time to repay old loans, as well as fresh credit, acquiesced to a series of Chinese demands, restarting suspended initiatives, like the $1.4 billion Colombo Port City, and awarding China new projects.

Sri-lanka made a bet on building a new City in hopes that it will work.
That bet went wrong. That is Sri-Lanka's fault, how does someone accuse China for that?
Had China been using that much influence on Sri-Lanka, they would have never denied JF-17, its also a Chinese jet.

Sirisena also recently agreed to sell an 80% stake in the Hambantota port to China for about $1.1 billion. Now, Rajapaksa is accusing Sirisena of granting China undue concessions.

We haven't sold any shares of Gawadar port to China, we hired a Chinese company to run it.
We had previously hired a Singaporean company to run Gawadar port (funnily enough, no one was bothered by that).

By integrating its foreign, economic, and security policies, China is advancing its goal of fashioning a hegemonic sphere of trade, communication, transportation, and security links. If states are saddled with onerous levels of debt as a result, their financial woes only aid China’s neocolonial designs. Countries that are not yet ensnared in China’s debt trap should take note—and take whatever steps they can to avoid it.

Author hasn't showed us any Chinese colony so far, what they have shown is countries that took debt from China failed to pay it back and so had to make a compromise with China to settle it.

That's not something that wouldn't have happened to us had we taken a loan from IMF or some other institute.

 

[JOEY TRIBIANI]

My reaction when indian start worrying about Us .

 

[Great Sachin]

Once upon a time....Pakistan used to praise USA like big brother to get free bees...and now same thing is being repeated with China...

 

[Verve]

Default on IMF/WB loans, we would be ask to handover our nuclear weapons.

Default on China loans, we may have to offer concessions etc but it won't hurt our strategic forces.

Once upon a time....Pakistan used to praise USA like big brother to get free bees...and now same thing is being repeated with China...

And once upon a time, India used to be a strategic ally of Russia, and now it is no more.

World changes. We are doing what is in the best interest for us, you do what is in yours.

Once upon is just that, once upon only!

 

[faithfulguy]

Please don't feking convince us of any thing here and keep your nose out of our affairs.


Just to add Sri Lanka in the past until tamil tigers were defeated. These indians create these bull crap to do what? shown concern somehow and yet on the other hand are doing everything to destroy Pakistan.

To Indians, Pakistan is part of Indian land that were taken over by enemy. Their wacked history believe that IVC were Hindu and all worlds civilization came out of India.

 

[shhh]

To Indians, Pakistan is part of Indian land that were taken over by enemy. Their wracked history believe that IVC were Hindu and all worlds civilization came out of India.

Yes.

I almost fell out of chair debating with an extremist hindu when he said that ALL RELIGIONS WERE DERIVED FROM HINDUISM.

I still laugh at it.

 

[Path-Finder]

To Indians, Pakistan is part of Indian land that were taken over by enemy. Their wracked history believe that IVC were Hindu and all worlds civilization came out of India.

have you heard about the bread theory that bread being baked right(indians), being overcooked and undercooked?

 

[faithfulguy]

have you heard about the bread theory that bread being baked right(indians), being overcooked and undercooked?

Nope. But it must be interesting.

 

[newb3e]

After the inception of cpec methane levels in india has gone up because india burned arses are producing more methane than cattle!

 

[shhh]

have you heard about the bread theory that bread being baked right(indians), being overcooked and undercooked?

I haven't.

Explain?

 

[Path-Finder]

I haven't.

Explain?

Nope. But it must be interesting.

https://twitter.com/x/status/689416581571416064