An auspicious beginning

Time to see it through

The visit of Prime Minister Nawaz Sharif to China ostensibly seems to have produced positive and encouraging results in regards to the priorities of the government for reviving the economy and the expected role that China could play in the realisation of these objectives. The government of Nawaz Sharif is feverishly engaged in reviving the economy through necessity-driven strategy that focuses on ending energy crisis, development of infrastructure to propel growth and expansion in the communication network that acts as a catalyst in improving the overall health of the economy. Huge investments are needed to realise these objectives and for resource-starved Pakistan the only available proposition is to seek foreign investments and assistance in these areas. Who could be a better and trustworthy partner than China in this area? Prime minister’s decision to choose China as his first foreign destination after assuming the mantle of government to seek its support in the accomplishment of this gigantic task, indeed represents an auspicious beginning.

Through his interaction with the Chinese leadership and heads of different corporations and financial institutions responsible for making investments in the foreign lands, the prime minister successfully made a convincing case to attract Chinese investments in the areas of priority. Consequently eight agreements and MOUs were inked for Chinese assistance and investment. The Chinese government made a commitment to build 200-km tunnels costing $18 billion to facilitate the realisation of the proposal of economic corridor that envisages building of rail and road network linking China with Gwadar and Karachi. The other mega projects that were given concrete shape included laying of fiber optic between the two countries, construction of Lahore-Karachi motorway, development of infrastructure at Gwadar, fashioning it on the pattern of Hong Kong and the construction of an international airport, bullet train between Peshawar and Karachi, upgradation of KKH and rehabilitation of Attabad Lake.

The major focus of the prime minister however remained on the energy sector. The President and Prime Minister of China assured Nawaz Sharif of their unflinching support and commitment in helping Pakistan overcome the energy crisis. Chairman China Three Gorges Corporation Cao Guangling, a company already engaged in energy projects in Pakistan, told the prime minister that his company was executing nine power projects in Pakistan. Offering technical assistance in the construction of Bhasha-Diamir Dam he also indicated the willingness of his company to undertake more hydel projects in Pakistan. Since the government of Nawaz Sharif is contemplating to exploit the indigenous coal reserves to produce electricity, he held extensive discussions with the Vice Chairman of China Coal Technology and Engineering Group Corporation (CCTEGC) Wang Jinhua, which has a vast expertise in the coal technology. Mr Jinhua assured his company’s help in building coal based power units near the coal sites.

Both China and Pakistan agreed to fully implement the Additional Agreement to Extend the Five Year Development Programme on China-Pakistan Trade and Economic Cooperation and to fast-track work on the projects identified under the Five Year Development Programme, hold the second phase of tax-reduction negotiations on China-Pak Free Trade Agreement on speedy basis, further liberalise trade and promote economic integration between them. China vowed to continue extending its full support to Pakistan in the latter’s efforts to uphold its independence, sovereignty and territorial integrity, while respecting the development path chosen by the people according to their national priority and also support Pakistan in maintaining social stability and economic progress. A commitment was also made by both sides to strengthen the already existing frameworks and mechanisms designed to enhance cooperation between the two countries in the economic and political arena.

The two countries reaffirmed their commitment to promoting multilateral arms control, disarmament and non-proliferation measures, support universal and non-discriminatory prohibition and destruction of all nuclear weapons and reiterated their opposition to the weaponisation and arms race in the outer space. It was also decided to enhance close communication between the two countries on these issues at the international forums like UN, Asia-Europe Meeting, ASEAN, SCO and the Istanbul process.

On the regional issues, the two sides expressed unanimity of views particularly the solution of the Afghan conundrum by supporting the Afghan-led and Afghan-owned solution. Both China and Pakistan expressed their firm belief that peace in Afghanistan was necessary for stability and security in the region as well as exploiting the avenues of shared economic prosperity. Both countries being on the same page in regards to the situation in Afghanistan is also very significant in view of the on-going spat between the Karzai government and Pakistan in the backdrop of the former accusing Pakistan of fomenting trouble in Afghanistan and controlling the Taliban.

China can exercise its influence to help Afghanistan and Pakistan in removing the misgivings and mistrust that has marred relations between the two countries and possibly also hindering progress in resolving the conflict. The recent visit of the British Prime Minister to Pakistan and Afghanistan was also prompted by these developments and the desire to support resolution of problems between the two countries. Peace in Afghanistan is of paramount importance to Pakistan. The sooner it is achieved, the better it would be for both the neighbours and the entire region.

Pakistan and China were also on the same page in eliminating the scourge of terrorism which not only poses existentialist threat to Pakistan but also is a major irritant for the countries of the region including China. SCO which aims at enhancing cooperation between the member states in the economic sphere and other issues of mutual concern also has terrorism as one of its top priority. Pakistan and China can also work together within the framework of the SCO in dealing with the phenomenon of terrorism.

On the face of it, the prime minister’s visit has achieved the desired objectives and taken the relations between the two countries to a new level, especially in the domain of economic cooperation. But the success of these endeavours will depend on actually realising those commitments within the shortest possible time. That is only possible when the law and order situation in the country, insurgency in Balochistan and terrorism are tackled on priority basis. The Chinese would also want a secure environment for their investments and the personnel engaged in the development projects. US Secretary of State John Kerry in his meeting with Sartaj Aziz in Brunei recently also observed that foreign investments depended on improvement of law and order situation in Pakistan.

The writer is an academic.