Skip to main content

CPEC unlikely to improve Pakistan investment climate, say experts

ANI | Updated: Feb 20, 2018 18:20IST

New York [United States], Feb.20 (ANI): Experts assessing the impact of the USD 60 billion China-PakistanEconomic Corridor (CPEC) project in terms of improving the investment climate in Pakistan are by and large skeptical and uncertain about it in the short and the long term.

The CNBC channel quoted Derek Scissors, a resident scholar at the American Enterprise Institute (AEI), where he focuses on the Chinese and Indian economies and on U.S. economic relations with Asia, as saying that "Chinese activity in Pakistan is certainly raising Pakistan's profile, but only in a narrow way."

He maintained that global investors "are less drawn by what Pakistanitself has accomplished and more by what China has done in Pakistan."

Shailesh Kumar, Asia Director at the Eurasia Group, was quoted by CNBC, as saying that he did not think that investors would be comfortable parking their cash in Pakistan in spite of Beijing's involvement.

However, he added that if viewed from the Chinese point of view, then their investment in Pakistan is largely strategic.

"Many are seen by the investor community as an attempt by China to offload its excess capacity and place Pakistan under debt," he was quoted, as saying further.

The CPEC is a China and Pakistancollaboration under the Belt Road Initiative (BRI) spanning a 1,864-mile-long corridor from Kashgar in China's western Xinjiang province to the Pakistani port of Gwadar. It includes the construction of motorways, railways and power plants, and will also make inroads into sectors such as communication and education.

The Government of Pakistan, however, continues to remain optimistic about the CPECimproving the country's economic performance in the long term.

Pakistan's economic growth of 5.3 percent in 2017 is being cited as an example of upward movement, as is the fact that Islamabad is seriously considering to move away from the rupee-dollar exchange rate medium to the rupee- Renminbi exchange rate, given that the relationship between Islamabad and Washington is presently rocky. (ANI)


Popular posts from this blog

Balochistan to establish first medical university

The Newspaper's Staff CorrespondentOctober 25, 2017QUETTA: The provincial cabinet on Tuesday approved the draft for establishing a medical university in Balochistan.Health minister Mir Rehmat Saleh Baloch made the announcement while speaking at a press conference after a cabinet meeting.“The cabinet has approved the draft of the medical university which would be presented in the current session of the Balochistan Assembly,” he said, adding with the assembly’s approval the Bolan Medical College would be converted into a medical university.Published in Dawn, October 25th, 2017

5 Shia Hazara community members gunned down in Pakistan

Five members of the minority Shia Hazara community, including two women, were killed on Sunday in an attack by unidentified gunmen in Pakistan’s restive Balochistan province.This is not the first time that members of the Hazara community have been targeted in Quetta and other parts of Balochistan.(Reuters File Photo)Updated: Sep 11, 2017 00:20 ISTBy Press Trust of India, Press Trust of India, KarachiFive members of the minority Shia Hazara community, including two women, were killed on Sunday in an attack by unidentified gunmen in Pakistan’s restive Balochistan province.The gunmen targeted a car in Kuchluck area of Quetta while it was coming from the Chaman border crossing area, police said.The firing took place when the travellers had stopped at a filling station to refuel their vehicle. Five people of the Shia Hazara community, including two women, died in …

China’s 'Digital Silk Road': Pitfalls Among High Hopes

Will information and communication technologies help China realize its Digital Silk Road?By Wenyuan WuNovember 03, 2017In his speech at the opening ceremony of China’s 19th Party Congress, President Xi Jinping depicted China as a model of scientific and harmonious development for developing nations. Xi’s China wants to engage the world through commerce but also through environmental protection and technological advancement. This includes Beijing’s efforts to fight climate change with information and communication technologies (ICTs) that it plans to export along its “One Belt One Road” initiative (OBOR). Xi may have ambitious plans, but could China be throwing up obstacles in its own way?In his speech, the Chinese president emphasized the need to modernize the country’s environmental protections. The Chinese state is taking an “ecological civilization” approach to development and diplomacy, with a natio…