16 February 2016

Editorial: Pakistan - What Stands in CPEC’s Way?

By Muhammad Daim Fazil

There are several potential threats to the China-Pakistan Economic Corridor.

When Chinese President Xi Jinping unveiled the blueprint for the enormous $46 billion China-Pakistan Economic Corridor (CPEC) project last year, Pakistan was understandably pleased. The Pakistani government considers the project a game changer for its fragile economic structure. This exhilaration partly stems from the country’s wobbly economic performance in recent years, which has seen it fall short of GDP and other financial targets. The project has also elevated Islamabad’s strategic partnership with the regional superpower. CPEC is viewed as a lifeline for Pakistan, yet three potential obstacles could yet derail this multifaceted project.

Provincial Resentment in Pakistan

A lack of domestic consensus can hinder development in any part of the world, and CPEC is no exception. When CPEC was initially introduced, every mainstream political party supported it, including the ruling Pakistan Muslim League Nawaz (PMLN-N). However, the enthusiasm turned to deep concern when political parties from economically weak provinces (Khyber Pakhtunkhwa and Baluchistan) felt that their province’s reservations about CPEC were not being addressed. This was well described by the Chief Minister of Khyber Pukhtunkhwa Pervez Khattak, who said, “It is not a western route but merely a road, because it has no such infrastructure that would improve the condition of neglected provinces such as KP, Baluchistan and Gilgit-Baltistan.”

Prime Minister Nawaz Sharif has already twice chaired an All Parties Conference to address provincial grievances and has formed a committee to tackle the issues. Regional parties from KPK (Tehreek-i-Insaf, Jamat Islami & Awami National Party) and Baluchistan (Baluchistan National Party-Mengal) have also organized APCs to discuss the provincial concerns. The debate has become so heated that China has felt it necessary to put out a statement urging parties to overcome their differences. A spokesman from the Chinese embassy in Islamabad said: “Relevant parties should strengthen their communication and coordination on the matter.”

Pakistan has a troubling history of ruining big projects through political bickering, and there’s fear that CPEC may meet the same fate. The Kalabagh Dam is a prime example.

Read the full story at The Diplomat