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CPEC: the goose with the golden eggs

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CPEC: the goose with the golden eggs
By Naveed Ahmad
Published: March 26, 2017
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Betting its fate on Pakistan with a $51-billion investment in infrastructure, China remains wary of its neighbour’s squint-eyed politicians who have proven their lack of vision over the years. Many of these politicians can’t see beyond the impending election woes. Since May 2013, the country has been on a dizzying political rollercoaster. Beijing has been observing the incidents with unusual persistence. Since the visit of the Chinese president and the unveiling of the China-Pakistan Economic Corridor (CPEC), the waters have become murkier with the federation and the provinces slinging mud at each other. The Pakistan Tehreek-e-Insaf (PTI) has been on the offensive against the Nawaz government and actively criticising it for ignoring the western route or misleading the Chinese about it. The fierce debate on CPEC undermined Beijing’s view that investment of such scale may bring unity within Pakistan. They were disappointed, at many levels.

CPEC and CPAC

Considering its high stakes, Beijing decided to iron out the issues with the stakeholders in the southwest. A fortnight ago, the Chinese ambassador had a detailed meeting with PTI Chairman Imran Khan at Bani Gala. The frank discussion resulted in Imran almost giving an undertaking of not attacking CPEC. Within days, he spelled it out in a public rally too. “Our differences on CPEC are not with China but the federation.” There has been no volte-face on this one, at least.

On December 29, the federal minister and Pakistan’s point-man on CPEC affairs, Ahsan Iqbal, led the chief ministers of all the four provinces and the premier’s special assistant on foreign relations at the sixth meeting of the Joint Cooperation Committee (JCC). The two sides reviewed progress and irritants on the ongoing projects. The highlight of the agenda was investment in the industrial sector, fine-tuning new transportation projects and upgrading and expanding the Karakoram Highway. Convening of such a forum in China points to the seriousness with which it is taking all stakeholders along with transparency and confidence and Beijing’s own capacity of dealing with the intricacies in Pakistan.

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On the contrary, Modi’s India has been desperately playing all its cards, from fuelling insurgency in Balochistan to sabre-rattling on Kashmir and threatening to divert rivers in contravention of the Indus Waters Treaty. Delhi’s frustration at CPEC reassures Pakistan and China of the promise that the logistical economic corridor and strategic partnership hold.

Local Industry and the CPEC Promise

Given the chequered history of civil-military relations, the decision-making concerning CPEC-related affairs and the execution of projects can have multifaceted implications for the country. Now that the premier has appointed the second set of four-star generals, the comfort level and self-confidence might have been boosted. On the flip side, what about the temptation of hiring favourites for coveted jobs instead of merit? There are also questions about the route of motorways. How far political or institutional influence worked in determining which cities, towns and villages will the road pass through or simply bypass? It does not take a genius to figure out as to why the Lahore-Islamabad Motorway is 100 kilometres longer than centuries-old Grand Trunk Road. Is it not true that certain individuals bought vast swathes of land exactly where the motorway interchanges are to be built or the industrial estates will be set up? The spin-off benefits of CPEC are being sucked away by the powerful with little regard for principle of conflict of interest or rights of the locals. The culture of investing in land and gold has hindered the nation’s imagination and creativity. The bonanza of CPEC carries is blinding the state functionaries to their responsibilities of safeguarding the state interest.

Let’s hope that the suspicion of its ‘mismanagement’ becoming another pretext for the military to dominate Pakistan’s civilian administration proves to be a figment of the imagination. Optimism, however, wanes when looking at corruption-tainted politicians and bureaucrats working in the power circles.

Gwadar: at the centre of success?

How far can CPEC tip the balance in favour of Pakistan’s armed forces? Will authoritarian China endorse such a gradual shift in the power equilibrum. There can’t be a straight answer to such complex problems.

While China has repeatedly emphasised that CPEC will be a win-win for both the countries as well as the region, it has never shied away highlighting the significance of security. That’s where the role of military comes in.

To ensure four-layered security to the corridor and its related projects, Pakistan has already raised a Special Security Division (SSD) at a cost of Rs23 billion. The force, comprising some 14,000 security personnel, will not only safeguard around 10,000 Chinese workers in over 330 small and mega projects but also ensure safety from Gilgit to Gwadar besides dealing with emergencies. In the long run, the task is supposed to be transferred to the civilian security institutions after requisite capacity-building.

Will the government relinquish the management of CPEC to the military in some form beyond security? So far, Islamabad has not passed on any tasks beyond the security assignment. Given increasing tension along the eastern and western borders, the military is less likely to be engaged in apex committees taking vital decisions regarding the corridor. While China won’t be comfortable without it, Beijing has shown the will to work with the democratic institutions while building their capacity and sustaining smooth coordination. Within some time, the country’s CPEC secretariat must evolve with specialised manpower chosen above and beyond political leanings and nepotism.

Published in The Express Tribune, March 26th, 2017.
 
On the contrary, Modi’s India has been desperately playing all its cards, from fuelling insurgency in Balochistan to sabre-rattling on Kashmir and threatening to divert rivers in contravention of the Indus Waters Treaty. Delhi’s frustration at CPEC reassures Pakistan and China of the promise that the logistical economic corridor and strategic partnership hold.


Published in The Express Tribune, March 26th, 2017.

Why does the media keep on talking about India's crimes in Baluchistan as "insurgency"?

It is clearly terrorism where the victims are primarily civilians and it goes against the Geneva convention and is clearly a crime against humanity!

If the roles where reversed the entire world would be screaming terror. The Pak media should call it what it is... Indian Terrorism! ... stop being such sellouts!

It shouldn't be Mother India... but rather... India the Mother of Terrorism.
 
CPEC is just one part of OBOR and It will connect to west China which is not developed at all compare to east China.
CPEC may fetch some economic benefit for Pakistan...that too after 30-35 years once all the loans are paid. I wonder how it will be game changer for Pakistan....expecting decent reply only...
csm_ChinaMapping-Silk-Road-DEC2015-EN_686923c005.jpg
 
CPEC is just one part of OBOR and It will connect to west China which is not developed at all compare to east China.
CPEC may fetch some economic benefit for Pakistan...that too after 30-35 years once all the loans are paid. I wonder how it will be game changer for Pakistan....expecting decent reply only...
csm_ChinaMapping-Silk-Road-DEC2015-EN_686923c005.jpg

Here is your answer... school yourself..
 
CPEC is just one part of OBOR and It will connect to west China which is not developed at all compare to east China.
CPEC may fetch some economic benefit for Pakistan...that too after 30-35 years once all the loans are paid. I wonder how it will be game changer for Pakistan....expecting decent reply only...

OBOR is a transport corridor Most of CPEC has to do with power generation, transit projects within Pakistan that have no international significance.

Pakistanis are desperate for economic hope. They feel they are falling behind India. They need some kind of mental clutch. CPEC fits the bill.

This is not to say that there is nothing good in CPEC for Pakistan. It is not a game changer the way it has been protrayed by some in Pakistani media.
 
OBOR is a transport corridor Most of CPEC has to do with power generation, transit projects within Pakistan that have no international significance.

Pakistanis are desperate for economic hope. They feel they are falling behind India. They need some kind of mental clutch. CPEC fits the bill.

This is not to say that there is nothing good in CPEC for Pakistan. It is not a game changer the way it has been protrayed by some in Pakistani media.

Well if it was just a case of mental clutching by pakistan... why is India going full mental jealous? ... because CPEC is a HUGE game changer... it puts pakistan back where it belongs in the region the rise of the dominant people of The Indus Civilization and the Silk Road.

The whole GB is our is farcical claim which was never an issue before CPEC... it's just as ruse to stop CPEC ... the game changer.

*grabs popcorn; & watch Indian heads explode*.... Aaah, the smell of jealousy is in the air...
 
Well if it was just a case of mental clutching by pakistan... why is India going full mental jealous? ... because CPEC is a HUGE game changer... it puts pakistan back where it belongs in the region the rise of the dominant people of The Indus Civilization and the Silk Road.

The whole GB is our is farcical claim which was never an issue before CPEC... it's just as ruse to stop CPEC ... the game changer.

*grabs popcorn; & watch Indian heads explode*.... Aaah, the smell of jealousy is in the air...

The Indus civilization was never dominant in Indian history.
The Silk road never passed through South Asia
 
Well if it was just a case of mental clutching by pakistan... why is India going full mental jealous? ... because CPEC is a HUGE game changer... it puts pakistan back where it belongs in the region the rise of the dominant people of The Indus Civilization and the Silk Road.

The whole GB is our is farcical claim which was never an issue before CPEC... it's just as ruse to stop CPEC ... the game changer.

*grabs popcorn; & watch Indian heads explode*.... Aaah, the smell of jealousy is in the air...

So your logic is that since India is opposing CPEC, there must be something great about it.

I like your thinking.
 
The Indus civilization was never dominant in Indian history.
The Silk road never passed through South Asia

If that's what makes you happy.... Fine.

The new silk road shall be through pakistan.
 
So your logic is that since India is opposing CPEC, there must be something great about it.

I like your thinking.

Yes, bingo!

It is India's wet dream to push pakistan into the sea by hook or crook... Pakistan is our Israel, our safety net. Thank God for Pakistan!

moo par ram ram bakhaal may chooree.
 
Pakistan is definitely China's Israel.

Agreed with you clutch. Thank you Jinnah for Pakistan. I love eating beef.
 
As US aid and influence shrinks in Pakistan, China steps in
By MATTHEW PENNINGTON

Mar. 6, 2017 4:15 AM EST
1 photo
FILE - In this Nov. 8, 2014 file-pool photo, Pakistani Prime Minister Nawaz Sharif, left, and... Read more



WASHINGTON (AP) — Pakistani leaders often wax lyrical about their "sweeter than honey" relations with all-weather friend China. There's no romance about their marriage of convenience with America.

As the Trump administration plots its policy toward a key partner, it will find Pakistan being drawn deeper into Beijing's embrace and its promise of $46 billion in energy, infrastructure and industry investments by 2030. The money could transform the Muslim nation's economy.

Washington, by contrast, is losing faith in how much its largesse can influence Pakistan. Many frustrated U.S. policymakers see Pakistan as a terrorist haven that some $30 billion in security and economic assistance since the 9/11 attacks has failed to fix. But an American retreat could have broad implications for its ability to maintain stability in a regional powder keg of extremism, weak governance and various potential conflicts.


"I get the sense that we are the dispensable ally once again," Bilalwal Bhutto, a Pakistani opposition party leader and son of the slain former prime minister, Benazir Bhutto, said during a recent visit to Washington.

U.S. assistance to Pakistan has been declining since 2011 when American commandos killed Osama bin Laden inside Pakistan, straining relations. And as the U.S. troop presence in neighboring Afghanistan has shrunk, Pakistan has become a lower priority. Aid could decline further as President Donald Trump proposes drastic cuts to diplomacy and foreign aid budgets.

Still, Trump's vow to protect America from violent extremism may make it difficult for him to turn his back on Pakistan, a nuclear-armed nation where al-Qaida leader Ayman al-Zawahiri is suspected to be hiding and which could hold the key to an Afghan peace settlement. The 8,500 U.S. troops still deployed in Afghanistan means the U.S. retains a high interest in seeing Pakistan rein in cross-border attacks by Taliban militants, whatever Washington's larger regional objectives may be.

China is also concerned about militancy in Pakistan, particularly by ethnic Uighur groups that have reportedly sought refuge in the Pakistan-Afghanistan border region and forged links with al-Qaida and the Taliban. But above all, China sees strategic and economic opportunities in Pakistan.

The unlikely alliance is a critical part of China's ambitious "One Belt, One Road" project to link markets in Asia and Europe. Pakistan's offer of access to the Indian Ocean could reduce China's reliance on the chokepoint of the Malacca Strait in Southeast Asia for oil imports from the Mideast, and help spur development in China's land-locked far west.

Ahsan Iqbal, Pakistan's planning and development minister, called the investment a "blessing." The nation of 200 million people is blighted by power shortages and other failings, and has struggled to attract foreign firms because of persistent extremist violence.

Chinese private investors are planning $35 billion in energy generation and transmission projects, he said. Some 10,000 megawatts of power is slated to come online by 2018. That can hugely boost the country's generation capacity of just 22,000 megawatts, or a little more than the capacity of Switzerland, which has 1/25th of Pakistan's population.

Chinese loans also will fund more than $10 billion in roads, rail and facilities at a deep sea port.

"The story of Pakistan is changing," Iqbal told a Washington think tank last month. He asked, rhetorically, of the United States: "We are ready. Are you ready?"

Government spin aside, volatile, coup-prone Pakistan has enjoyed several years of relative political stability, allowing the economy to claw back from crisis. The Karachi stock market rose by 46 percent in 2016. GDP is set to grow by about 5 percent this year, helped by low oil prices.

Violence remains pervasive, however. The military has pressed offensives against the Pakistani Taliban, but a recent spate of suicide bombings killed 125 people. The Islamic State group claimed responsibility.

While Trump hasn't outlined any Pakistan approach, Congress is laying down markers.

Last year, lawmakers blocked U.S. funding for sales of F-16 fighter jets to Pakistan and for this year are withholding $400 million in coalition support funds until the U.S. defense secretary certifies that Pakistan has taken action on a Taliban faction long favored by the nation's military and intelligence services.

Pakistan's archrival, India, is an increasingly close U.S. partner. It similarly accuses Pakistan of selectively fighting terror and is trying to isolate Islamabad diplomatically. Such maneuverings are having the effect of pushing Pakistan closer to China, which once fought its own border war with India.

"If everything goes to plan then Pakistan could enjoy a bonanza of benefits from easing its energy crisis to providing badly needed infrastructure," said Michael Kugelman, a South Asia expert at the Wilson Center in Washington. But he cautioned that Pakistan may overestimate how much China, which prioritizes its own interests, will ultimately commit.

To provide reassurance, Pakistan's government is guaranteeing payments to Chinese producers in case local electricity distribution companies fail to compensate them once power plants go online. To address security concerns, Pakistan is reportedly deploying 15,000 forces to protect workers on Chinese projects.

Critics say the Chinese deals are opaque, leaving uncertainty about how impoverished local communities will benefit. And India fears that an increasingly assertive Beijing wants to use Pakistan's deep sea port at Gwadar as a base for China's navy in the Indian Ocean.

Pakistan's military ties with China are deepening. Their joint production of the JF-17 Thunder fighter jet suggests that China could eclipse the U.S. as Pakistan's favored source of high-end defense equipment, said Jonah Blank, South Asia expert at the RAND Corp. China is already its main source of low-tech military gear.

On the economic front, U.S. assistance has failed to leave a "footprint" like China's investment, said Ishrat Hussain, a former Pakistani central bank governor.

Hussain said the benefits of China's investment will take at least a couple of years to be felt but could end power outages that have crippled industry and establish road and rail links to spur the nation's neglected western flank. He urged America to focus on fostering science and technology in Pakistan.

http://bigstory.ap.org/article/1f313646d99a407ba3dac5fa116899de
 

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