China is a modern developing
country with good economic and political condition. It is the biggest ancient
society with flair towards modern culture and values. China has very good
relations with its neighbors like Pakistan and Russia. It is also working at its
best to solve its problem with India. Pakistan was one of the first countries of
the world to recognize China, and since then they have very good relations with
each other. Any kind of change in both of these countries has good or bad impact
on each other, and the region of South Asia.
China, not only developed its own infrastructure, but also provides economic aid
and military equipment to Pakistan, which is very important for Pakistan to
develop its infrastructure and due to its border and relations with India. India
– China relationship during sixties provides a good opportunity for Pakistan to
get all type of assistance from China. Any change in Chinese policy and economic
conditions has great impact on Pakistan’s economy, as China is the major
financer of Pakistan’s military and development projects like Ballistic
Missiles, JF-17 Thunder aircrafts, Gwader Port etc. Any decrease in China’s
economic growth level can reduce the economic and military aid towards Pakistan.
Pakistan needs China’s help in developing the cooperation in economic projects
like trade, energy and infrastructure development like Gwader port etc.
China also played a very important role for developing the infrastructure in the
most difficult mountains of boarder area of Pak – China called “Silk Road” and
Silk route projects. This network of roads provided a huge opportunity for trade
and business between both the countries and due to which both developed their
infrastructure to create the trade zones. Pakistan has now 500 foreign companies
out of which more than 60 are Chinese. The Chinese companies are working for
infrastructure development sectors like telecommunications, energy, mining, and
IT. Chinese companies are also working on high-level projects like Dams, Solar
energy projects and petroleum. Pakistani government also welcomed Chinese
entrepreneurs who wish to work for the infrastructure development projects in
Pakistan. In the year 2008, Pakistan had the high level of activity in
infrastructure sector. Construction, Housing, Power, and Energy development
projects were design with the total estimated cost of US$ 30 bn. Top priority
projects include 969MW Nelum – Jhelum power plant, and Diamer Basha Dam with
capacity of 4,500 MW. These projects are being built by the Chinese consortium
consist of Gezhouba group and China machinery export corporation. Pakistan and
China recently signed an agreement, during the visit of President Zardari, for
hydel power development projects with the estimated cost of US$ 448 mn.
Transport sector in year 2008 have been benefitted with over US$900mn total cost
projects. This is because the National Highway Authority of Pakistan plans to
invest US$ 5.3bn in transport sector. In order to enhance trade between Pakistan
and China and with a plan to include other countries in future, a project
costing US$6.5bn has been started which will connect the North to the ports in
the South of the country. China is also playing very important role in these
projects with investment and technical assistance. China is planning to use the
transport sector from the South to the North of Pakistan linking directly into
Chinese part of the territory.
Pakistan – China relationship are boosting with joint development of
infrastructure projects, which will save huge cost of transport to both the
countries. Infrastructure development is taking as the backbone of the trade and
economic development between both the countries. Pakistan badly needs the help &
expertise of its great friend and neighbor China in the fields of power, energy
and infrastructure development. Power, energy and water recourses open the way
for infrastructure and construction industry in Pakistan. It is the time
Pakistan can play a major role in cross border infrastructure, which will help
Pakistan to solve its major political crisis. China needs to analyze the
division of finances for these projects in Pakistan so that the estimated
amounts are used properly and the projects should be completed within time. It
is very important for both China and Pakistan that infrastructure projects are
well guarded, analyzed and controlled to get timely development with high level
of benefits.