Well, you can certainly try to enlighten all of us here.
Who are their "true" friends, according to you?
FDI is not constrainted to investments but the reinvested profits of foreign organizations are also considered as FDI......Secondly, its not like China has opened a huge industrial area in Pakistan or Chinese are setting up exclusive manufacturing plant with Pakistan/China flag weaving over it. Its not like as Common people perceive, for example, ICBC has opened up its operations in Pakistan, Chinese Motorcycle manufacturers are producing in Pakistan and Hopefully soon Pakistan will also be able to benefit from Chinese Auto manufacturing. These are gradual steps, the economic relationships are nurtured based on some basic prerequisites.Something which people fail to comprehend...
Dont mind it, Many of theme dont even know the word Economy. There is a famous economic joke, When you need a machine, buy German, when you need finance, go US, when you need everything else, buy China and when you need call center representatives with desi accent, you know where to go
I asked the same simple Question form Indian High Commissioner when he recently attended IBA. Apart from being neibours, the Pak-India trading pattern is usually contingency driven (Oops I am short of potatoes, Can lend me some, Oops I am short of Tomatoes and Onions, can you lend me some?). For being a strategic partner you have to fill the shoes of someone else. While the Honorary IHC had identified IT as a strategic area, the fact is that Pakistan's dominent imports are 1)Crude Oil 2)Edible Oil and 3) Machinery. IT may be important for someone say US, but for Pakistan these three things were utmost important. He got a bit offended and spent the whole answer time on argument that India does export machinary (but did not explained that what kind of machinery do they manufacture and where do they see the potential in these three major Areas).
Again enhancing trade relationships is a very complex phenomenon, the massive trust deficit between two countries is itself a huge barrier. You never know when the tensions get high and all of a sudden, all the trading activities can come to a hault. If being a trade I am ditching my long term western supplier to have an Indian one. I must be assured that I can do business with him unrestrained and financial aspect will always be secure and reliable. Secondly, the non-tariff barriers are a considerable drag on enhancing bilatral trade, If I, being a trader, would be getting Indian business visa in say 30 days, I cannot trade products which have a useful life of less than 30days, this also weeds out a lot of trade opportunities.
