Economic integration, spillover
effect and complex interdependence have always remained quintessential topics in
international relations and international politics. Ernst B Hass illustrates in
his theory of Neo Functionalism that integration and cooperation between two
states results in cooperation with other states and it has “spillover” effect on
rest of the other states. The cooperation could be in form of politics, economy,
culture etc. Such spillover effect further affects other states creating
regional economic integration and after that it reaches the point of supra
regionalism with multiple states. Further Joseph Nye also explained that use of
soft power and economy creates an environment of integration for nations to
enhance cooperation among states. Understanding these concepts always required
staunch examples from Europe, US and other countries. In Pakistan, students
quote example of France and Europe, that beside two catastrophic world wars,
France and Germany are packed into a complex integrated bonding now under the
shelter of EU. Similarly,the US&Canadian economic integration under the North
American Free Trade Agreement (NAFTA). Well such example are classical and would
be quoted in classroom of international relations and economics, but the wait is
over now Pakistan would also be quoted as an example for economic integration in
academics of International Relations and economics, after the arrival of China-
Pakistan Economic Corridor (CPEC).
CPEC being a game changer has changed the economic, geopolitical landscape of
South Asia. CPEC is life line of China’s long enduring dream of B&RI. The $60
billion project would change the life standards of people in Pakistan. The
employment of Ernst B Hass Functionalism over CPEC explains that the spillover
effect of CPEC from South Asia to Central Asia, Middle East and Europe is giving
life to Ernst B Hass Neo Functionalism and Joseph Nye’s soft power. Critics also
criticize Hass on the grounds that spillover effect of integration among states
could surrender their sovereignty, but that’s not true, respecting other states
sovereignty being under the shadow of integration is the actual meaning and
utilization of Neo Functionalism.
CPEC is a joint venture of Pakistan and China only aimed at economic integration
and prosperity of the region. China has never breached Pakistan’s sovereignty
and territorial integrity. Being a game changer in South Asia with 3000 KM road
and railway connecting Kasghar in North Western China with Gwadar Port of
Pakistan situated in Balochistan. Similarly, Russia, Iran, Afghanistan, Turkey &
Central Asian states also want to become stakeholders in CPEC. This project is
also facing lots of criticism that under CPEC Chinese products would engulf
Pakistan’s market and its indigenous products would vanquish. The recent Center
for Advanced Defense Studies (C4ADS) criticized CPEC that it would increase the
burden of debts on Pakistan imperiling the country's long-term economic
viability. The report is prepared by Washington based think tank to secure
India’s Chabahar port and contain China’s presence in South Asia. As business
and economic prosperity is knocking at doors of Pakistan, there are also some
critics who want to sabotage this project.
Pakistan’s immediate neighbor has always acted as a stumbling block in the
passage of CPEC as it passes from Kashmir. India’s immediate aim is to promote
Chabahar as its second wheat consignment reach to Afghanistan on April 3 2018.
CPEC could shatter India’s hope of regional monopoly and usher Gawadar port as a
key strategic and economic junction in South Asia. Simultaneously, Iran Foreign
Minister Javed Zarif visited Pakistan on March 12 2018 where he reiterated that
“Iran is interested in joining CPPEC and linking Chabahar port to Gawadar for
promotion regional economic prosperity.” As India is playing card of dualism by
keeping friendly ties with Israel & US as well. Post Trump’s decisions to shred
Iran nuclear deal and impose new economic sanctions on Iran, the chances are now
high that Iran would turn towards CPEC, which would be another setback for India
and its lobby. Kulbushan Jadhav (Indian spy) who was arrested form Balochistan,
also confessed that he was spying in Pakistan and his mission was to sabotage
CPEC. Having such prime evidences it is now clear that India wants to put
Pakistan back to dark ages and is in state of war through its non-coercive
means.
The reality of CPEC in Pakistan is somehow different from illusions. "If
completed as planned, CPEC's productivity would be equivalent to 17% of
Pakistan's 2015 gross GDP, and as many as 700,000 jobs would be created. As a
result, Pakistan could see economic growth of 2.5%. With the advent of CPEC and
Chinese products in Pakistan, a new wave of economic opportunities is
developed.Local entrepreneurship is going to be increased in Pakistan, with
Chinese products and their use people have now a better life standard. Taking
example of Islamabad where people have started their business with Chinese
products and opening Chinese hotels, using FAW a Chinese based company with low
cost and enjoying luxuries drive. This has changed people’s life standard in
Pakistan and now people are moving to a better life standard with Chinese
products.
While talking about business and entrepreneurship I met an entrepreneur who runs
the business of Chinese based heavy bikes firm in Islamabad “Riders Zone”.While
asking the same question as quoted by Center for Advanced Defense Studies
(C4ADS) about CPEC endangering Pakistan economy. Shakeel Hussain Managing
Director of Riders Zone quoted that “Chinese products are available at low price
in Pakistan and there is no threat to Pakistan’s economy in his view. Chinese
products has opened new horizon for business in Pakistan. He also added that
with these Chinese heavy bikes his aim is to promote tourism in Pakistan, where
foreigners can come and enjoy rides in beautiful hills of Margalla and across
Pakistan”.
A Chinese restaurant in Jinnah Super Market Islamabad where Chinese food is
being served gave me an impression of cultural integration, where Pakistani and
Chinese people were sitting and having food together. This amalgamation of Indus
& Chinese civilization is only possible by the path of CPEC. Giving examples of
such products and business is the actual implementation Hass Neo Functionalism,
where one project is not integrating regions and states, but it is also having
spillover effect within Pakistan as well from small business to promoting
tourism industry in Pakistan. Pakistan needs an economic boost and CPEC is like
an economic booster for Pakistan. This mega project has connected Pakistan to
the rest of the world, with actual adaptation of Hass’s Functionalism theory at
all levels.