Skip to main content

JCC of CPEC to meet on November 6: Pakistan to request China for financing ML-1 project under soft conditions

Mehtab Haider

October 30, 2019

Pakistan will ask China to provide phased wise financing for ML-1 for period of 10 to 15 years with spread over period of 30 years and with minimum interest rate.

ISLAMABAD: Pakistan has decided to make fresh request to China for getting lucrative package of over $8.5 billion for construction of much-awaited railways Mainline (ML-1) from Peshawar to Karachi.

In the upcoming Joint Coordination Committee (JCC) meeting under much-trumpeted China Pakistan Economic Corridor (CPEC) scheduled to be held here in Islamabad on November 6, 2019, Pakistan will ask China to provide phased wise financing for ML-1 for period of 10 to 15 years with spread over period of 30 years and with minimum interest rate.

So Islamabad could only move ahead for construction of ML-1 with lenient conditions despite having remained under the IMF arrangement. Without soft conditions for financing from China, the ML-1 financing will become difficult when Pakistan is currently under the IMF programme.

Pakistan would take up different projects including moving towards initiation of financing modalities for ML-1, financing of Karachi Circular Railway (KCR) after completion on pattern of Orange Line project for Lahore, mutual cooperation in agriculture sector with the purpose to promote research, announcing date of groundbreaking of Rashakai near Nowshera (KP) and then second SEZ at Dahbiji in Sindh. China has also decided to provide 20,000 scholarships for Pakistani students for studying into Chinese universities each year over next three years.

In an exclusive talk with The News here at office, Secretary Ministry of Planning Zafar Hasan shared details about upcoming JCC under CPEC mechanism and said that Chinese delegation led by Chairman NDRC along with delegation would reach Pakistan on November 3 and then Chinese delegation would visit Gwadar to inaugurate 300 megawatt coal power plant.

He said that Pakistan would request China to provide financing for ML-1 that could also become feasible under the IMF programme. He said the PC-1 for the construction of ML-1 was not yet approved but now the Planning Commission and Ministry of Railways decided to accelerate the process of approving this project in phased manner. The PC-1 for ML-1, he said, would be submitted again for getting approval from different forums.

Earlier, the Ministry of Railways had submitted PC-1 for ML-1 before the CDWP but it did not get approval because of certain observations made over the PC-1 for first phase with estimated cost of around $2.6 billion.

The government, he said, was going to request China to extend loan for extended period with spread over of 30 years and with minimum interest rates. He said that Pakistan also decided to seek financing for construction of KCR as the Orange Line Project was completed in Lahore so Sindh project should also be financed through this pattern. He said that Gwadar projects including construction of hospital, vocational training center and additional financing for Eastbay Expressways as China would provide loan on zero interest rate.

The Secretary Planning said that Pakistan and China would sign agreement for promoting cooperation in areas of agriculture research as National Agriculture Research Council (NARC) Pakistan and Chinese side would establish institutional cooperation to promote agriculture sector. The groundbreaking of SEZ at Rashakai, he said, would be done in November as the date to this effect would be announce on eve of JCC meeting.

“We have proposed incentive package for the SEZs and proposed draft shared with the Board of Investment after conducting comparative analysis of comparable economies in a bid to provide best of the best package for SEZs for potential investors”, he said and added that this upcoming package would determine the success of the SEZs.



https://www.thenews.com.pk/print/548085-jcc-of-cpec-to-meet-on-november-6-pakistan-to-request-china-for-financing-ml-1-project-under-soft-conditions

Comments

Popular posts from this blog

SSG Commando Muddassir Iqbal of Pakistan Army

“ Commando Muddassir Iqbal was part of the team who conducted Army Public School operation on 16 December 2014. In this video he reveals that he along with other commandos was ordered to kill the innocent children inside school, when asked why should they kill children after killing all the terrorist he was told that it would be a chance to defame Taliban and get nation on the side. He and all other commandos killed children and later Taliban was blamed.
Muddassir Iqbal has deserted the military and now he is  with mujahedeen somewhere in AF PAK border area”
For authenticity of  this tape journalists can easy reach to his home town to interview his family members or   ISPR as he reveals his army service number”
Asalam o Alaikum: My name is Muddassir Iqbal. My father’s name is Naimat Ali. I belong to Sialkot divison (Punjab province), my village is Shamsher Poor and district, tehsil and post office  Narowal. Unfortunately I was working in Pakistan army. I feel embarrassed to tell you …

The Rise of China-Europe Railways

https://www.csis.org/analysis/rise-china-europe-railways

The Rise of China-Europe RailwaysMarch 6, 2018The Dawn of a New Commercial Era?For over two millennia, technology and politics have shaped trade across the Eurasian supercontinent. The compass and domesticated camels helped the “silk routes” emerge between 200 and 400 CE, and peaceful interactions between the Han and Hellenic empires allowed overland trade to flourish. A major shift occurred in the late fifteenth century, when the invention of large ocean-going vessels and new navigation methods made maritime trade more competitive. Mercantilism and competition among Europe’s colonial powers helped pull commerce to the coastlines. Since then, commerce between Asia and Europe has traveled primarily by sea.1Against this historical backdrop, new railway services between China and Europe have emerged rapidly. Just 10 years ago, regular direct freight services from China to Europe did not exist.2 Today, they connect roughly 35 Chinese…

China's Raise as a Maritime Power

China's Rise as a Maritime PowerOcean Policy from Mao Zedong to Xi JinpingTAKEDA Jun’ichiSenkaku IslandsApr 23, 2014 PDF Download1. IntroductionThe international community has been viewing China's recent moves relating to the seas as representing "maritime expansion," and the Chinese themselves have come to talk about making their country a maritime power. In the political report he delivered in the autumn of 2012 to the eighteenth National Congress of the Communist Party of China, which stands at the top of the country's power structure, General Secretary Hu Jintao declared, "We should enhance our capacity for exploiting marine resources, develop the marine economy, protect the marine ecological environment, resolutely safeguard China's maritime rights and interests, and build China into a maritime power."1 This was Hu's final report as the top leader of the CPC; after delivering it he stepped down from his posts as general secretary and chairm…