Pakistan to get 9pc of Gwadar income, 15pc of FEZ: China

[xyxmt]

Well it will be Michael shaking his head in the call centre answering in a very spicy accent

Mike from Houshton?

 

[Trango Towers]

Mike from Houshton?

You know him as Well?

 

[xyxmt]

You know him as Well?

oh yeah, spoke to him once, Got him trapped and asked him really I lived in Houston for few years what part??
then he put me on hold

 

[Trango Towers]

oh yeah, spoke to him once, Got him trapped and asked him really I lived in Houston for few years what part??
then he put me on hold

Google maps looooool

 

[KapitaanAli]

Out of the 9% and 15% revenue cut, what will be the expenses for Pak?

 

[Unite & Defend]

Anyone that is swayed by Indian views is an imbecile.

 

[Trango Towers]

Out of the 9% and 15% revenue cut, what will be the expenses for Pak?

I believe none as the ports will be run by the operators

 

[Syed1.]

.

 

[ziaulislam]

i am surprised that we will get any?
we should be only getting tax revenues, jobs, poverty reduction and lease fee

 

[cloud4000]

I am not talking about OP. But the false narratives the Indian media spreads creates great panic here on the forum and other pakistani news outlets. Ignoring their idiocy is best.

How can you ignore Indian idiocy on CPEC when Pakistanis like yourself keep bringing it up without prompting?

 

[fallstuff]

It is a classic case of Ground Lease albeit between two nations.

Its very popular here in the USA where a large anchor store will develop the land, build improvements ( building, parking lot), and after a use of 20-30 years, return the land to the owner with all the improvements.

9% Pakistan is getting is essentially the Lease payments for the use of the land by the Chinese operators.

 

[AZADPAKISTAN2009]

There are two fold benefits

a) The Power projects (Hydral , Coal , Nuclear) will first of all help existing industries in Pakistan.These industries will become more efficient. Solving Water and Power issues is the biggest social problem.

• Reduction in electricity based curfews on industrial production
• Reduction in Reduced electricity supply to towns
• Increase in water conservation
• More efficiency in Textile industry
• The hydral project being the most important part of this segment

b) The secondary benefit is of course , from Gawadar port 9% and then Economic zones 15% (All Bonus)

• This of course is a longer term objective 3-5 years type project with year to year improvements in numbers includes the port
• Includes greater connectivity between economic zones and port to China

 

[KapitaanAli]

It is a classic case of Ground Lease albeit between two nations.

Its very popular here in the USA where a large anchor store will develop the land, build improvements ( building, parking lot), and after a use of 20-30 years, return the land to the owner with all the improvements.

9% Pakistan is getting is essentially the Lease payments for the use of the land by the Chinese operators.

But what's the logic behind giving a cut of the revenue?
It's a huge difference and not a smart decision unless some expenditure from the Pak side is expected.
Security?

 

[RIP Pak LAW]

9% and 15% for free.

Else 0% since we never had any plans to develop Gwader all these years as we already got a huge port at Karachi.

Pakistani government has made very smart move to strike a good deal as they will get 9 percent share out of total income of Gwadar port instead of total earned profits, although, the agreement was signed on Built, Operate and Transfer (BOT) basis.

-

He said that there were no Chinese labours working in Pakistan and there was need to sift facts from perceptions. “Around 60,000 Pakistanis are working on CPEC related projects,” he said and added that one million jobs would be created after relocation of SMEs factories from China into Special Economic Zones (SEZs).

 

[fallstuff]

But what's the logic behind giving a cut of the revenue?
It's a huge difference and not a smart decision unless some expenditure from the Pak side is expected.
Security?

The logic is "how much the Chinse Want it", its demand and supply. The Chinese want access to a port from the Western China, they are willing to build and pay for it.

Buildings and other structural improvements have something call Economic Life or usefulness, after 30 years, the Chinese will amortize and depreciate the entire economic life as the they see appropriate.