In 2014 china initiated a massive economic development project called OBOR. This initiative involved China spending over three trillion during next several decade infrastructure investments in 68 countries. The goal is to recreate silk road. The ancient silk road connected china with middle east, Africa and Europe using Caravan roads. China Xinjiang province is in north, therefore it provides potential corridor through krakram highway. Pakistan part in the OBOR is called CPEC. China will spend 60 billion US Dollars on infrastructure in development of Pakistan. It will include the construction of roads, railways, industries, air ports, fiber optic network and energy projects. The save city project includes building of new safer buildings in urban areas and the training of police officers.
91 percent income through CPEC goes to china and 9 percent to Pakistan. China impose more taxes. Money for roads come from Pakistan. Out of 60 billion dollar, 30 billion dollar loans are energy making commitments to buy electricity at over 8 cents from coal bared plants and India is buying solar electricity at 4 cents. Tax revenue is not economic growth. It just put burdon on the industries of a state. Pakistan and China are helping to each other as we want survival and they want profit which we are exchanging. China can also monitor in Persian Gulf and in Arabian sea.
The ‘game changer’ is a mirage. One perspective about the CPEC is that it would not bring us prosperity. It is a debt trap we are willing to get into because we are desperate. Once we see it for what it is? We all know what to do tighten our belt, work hard, train our people and export more and start before it’s too late. The Chinese are our friends but, we are going to turn them into our master. Even God does not help a people that don’t help himself, so why Chinese would help us. It is the exchange policy of china that what we are giving to china and what we are taking from them. Some says that the china is coming to Pakistan to have an eye to the other super powers, through sea because the coming era is the era of seas, and the powerful navy you have the more strong and dominant you would be. But if we observe logically, we are living in a realistic world in which everyone just think about self interest. China is also doing this and Pakistan too. China needs profits which it would get and we want security which we will get in future. And we must keep in mind that it require two hands to clap so Pakistan must have its share in CPEC to be act like a sharer not like a feeding baby. So be realistic and logical not pretend to be an emotional fool.
It was the one aspect of CPEC. If we look at the positive side of the CPEC, it carries more benefits for Pakistan then its side affect. Firstly China is the only country in the world which is investing a huge amount of money in Pakistan, CPEC would be the biggest economic project in south Asia and we will get a competitive infrastructure throughout the world. There would be 2.5 billion Dollars gas pipe line to transport gas from Iran to Pakistan. Gwadar would be the gateway for the Asian countries to undertake marine transport and the oil export from Malacca Strait to Xinjiang province would be through Gwadar which will boost the importance of Gwaddar port strategically throughout the world. Gilgit Baltistan is known for fresh fruits, CPEC would be the game changer by opening business opportunities for the region’s traders. Another benefit of CPEC is that we would have very close relation to China which would help us to get favor in case of Kashmir, as china is a veto power so we would get more through this two sided relationship.
There arises some questions, which I would answer here. Would CPEC bring peace to Baluchistan? Yes it is obvious that whenever a society is developed it would become peaceful. The main cause of Baluchistan insurgency is due to lack of development and due to CPEC, if one percent of the CPEC is provided to Baluchistan it is enough for the people of the Baluchistan to fulfill their demands. And CPEC is a international project so it will bring international type security to Baluchistan whish will also cause the peace in Baluchistan. Would CPEC be ever meterlized? The answer is yes, because it is the project in which 60 billion dollar is invested. Though it will take time for the completion but when it is completed it would be meterlized more than our thoughts. Would CPEC be the GAME CHANGER for the entire region? Yes, because it is the project which covers 68 countries to be interlinked with each other. So it is obvious that PEC will bring economic changes for the entire region. Does CPEC is china-Pakistan Economic Corridor or China-Punjab Economic corridor? It is China-Pakistan Economic Corridor. It is true that Punjab is preferred more but we all now that Punjab is the more developed province of Pakistan so it was better for the requirement of the CPEC, and it is sure that after solution of security issues other provinces would also be treated like Punjab. And according to my analysis it is the struggle by the political parties to distract people about CPEC.
Chabahar
India and Iran reached on interim agreement for the operation of phase one of Chabahar port. In just 18 months, periods India’s initial lease at Chabahar is usually short and it is reportedly intended as an interim measure. The 85 miles, terminal will make it easier for Indian shipping to bypass Pakistan.
New Delhi has always had uneasy relationship with Islamabad, and by cutting out Pakistan road network for shipments into eastern Iran and Afghanistan, it will be reducing its economic dependence on its regional level. China is investing heavily in transportation infrastructure in Pakistan, including the new Chinese operated port at Gwadar just 50 nm across the border of chabahar. Additionally, India tends to build a 1.6 billion Us Dollars railway line to Zahedan in Iran which can provide access to central Asia. Having no common border with Afghanistan India could not get a trade route to it through Pakistan in the past because of friction between the two neighbors. So it has great expectations from the launching of Chabahar. Another significant event was the signing of MOU between Iran and India to develop these two countries.
The united states and its allies had imposed sanctions on Iran due to the nuclear power program by Iran. And if trump imposes more sanctions on Iran most of their plan would end there. In a problem caused by western sanctions on Iran, India will, for the first time allow the investment in rupees in Iran. New Delhi is Tehran’s second biggest oil client after Beijing. The chabahar port will cut transport cost for Indians goods by a third. The port is likely to ramp up trade among Iran, India and Afghanistan in the wake of Pakistan denying transit access to new Delhi for trade with the two countries. Iran plans to turn the chabahar into a transit hub for immediate access to markets to northern part of the Indian ocean and in central Asia.
Indian investment in phase one will be more than 200 million dollar including 150 million lines of credit from Exim Bank. Inaugurating the chabahar port, Iranian president Hassan Rouhani said, he looks forward to more engagement and unity in the region, explaining. We should welcome other ports in the region, we welcome Gwadar’s development. Achieved 15 years after the initial agreement in 2003, the Indo-Iranian project of chabahr is often seen as a rival or competitor forPakistan’s Gwadar port, which is the main seaport of the flagship China-Pakistan Economic corridor, part of the One Belt One Road project of Beijing.