Politics mustn’t hamper China-Pakistan mega project

Saudi Arabia joining the economic corridor as a partner is a positive development for the Gulf and Beijing

The Pakistan government, despite the economic gloom pervading in the country, should be relieved at the economic assistance offered by its Gulf allies, Saudi Arabia and the UAE. Following the visit of His Highness Shaikh Mohammad Bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, to Islamabad, a hefty assistance package was announced. Saudi Arabia too has committed to building a $10 billion (Dh36.7 billion) oil refinery in Gwadar and financing Pakistan’s crude imports.

This is good news, particularly since there is an opportunity to bring the Gulf allies closer. That opportunity is presented by the China-Pakistan Economic Corridor (CPEC). Its constitution is of a transnational economic conduit that can serve many regional states. It is also a potential goldmine that can be utilised to boost trade and serve an important political purpose of bringing the Gulf states nearer east.

The project will have some limitations when it comes to implementation given Pakistan’s fluctuating political environment and other key dynamics such as security. However, the faith China, Saudi Arabia and the UAE have invested in Pakistan despite its struggles is commendable. But commitments made in return for the assistance regarding delivering on security for infrastructure development must be fulfilled. There have been incidents where Chinese workers have been targeted. While the army and police have been tasked to ensure the security of sensitive projects on a priority basis, more needs to be done.

Pakistan stands at a critical juncture today. Its new government is reeling from one economic crisis to another besides the growing political uproar over the alleged targeting of opposition leaders in corruption cases. The strident attitude adopted by Imran Khan’s Cabinet is a reminder of the thin line between political wrangling and gung-ho lunacy. Rooting out corruption is laudable, but putting together an economic team to deal with the currency deficit and inflation is the need of the hour.

Relying on billion-dollar packages despite the attractive terms is not the cure for the malaise afflicting Pakistan. Imran has always strongly advocated against carrying the ‘begging bowl’ (in his words) to any country for crumbs. Now he is forced to swallow his words and make hasty trips to save the country (again his words). The government’s take on CPEC seems rather skewed. It has halted a major CPEC power plant project at Rahim Yar Khan and decided to axe what it calls politically motivated schemes that number in the hundreds in the public-sector development programme. The Rahim Yar Khan project is being shelved to provide ‘structural optimisation space’ for Pakistan’s power market.

The Chinese reaction understandably has been to demand a joint optimisation study of the energy sector at the earliest. However solid the reasons may be, such a decision does not bode well for CPEC ties. Beijing would have expected Pakistan to have done its homework or not have a new government halting projects based on anticipated optimisation needs. It might have been better if the government had undertaken this study with its Chinese counterparts before making public announcements.

The CPEC edifice is yet fragile. This behemoth has been under fire from various quarters. The truth is that Pakistan needs to decide where it wants to take CPEC. No country can force Pakistan to do anything. But the state has to act according to its rulers’ whims. The deep state may react when push comes to shove but as often is the case it plays along, especially when its interests are met. Remember the drone controversy? Our sovereignty was not under threat; we just didn’t want to accept or acknowledge that we had given the go-ahead, willingly or not, to the Americans to come and bomb our hinterlands. But we did object to ‘boots on the ground’ and objected strongly when exceptions happened as in Salala. So, to those who cite the English East India Company’s example, we can say that Pakistan’s sovereignty will not be compromised to China unless we allow it to happen. Hopefully, that day will not come.

CPEC should be an opportunity to capitalise, deliver and develop. It should not be an extension of the begging bowl typically thrust on to Third World states. Saudi Arabia’s move to become a CPEC partner can be a positive development for the Gulf and China. If Pakistan becomes a hub for the oil and trade flows between China and the Gulf and the Middle East, it has immense advantages. Petty politicking should not spoil the larger interests and economic benefits brought by this development.

■ Faryal Leghari is a columnist and the former Deputy Opinion Editor at Gulf News.