CPEC no debt trap for Pakistan, Xi brainchild needs greater social access

China on Tuesday denied that its projects under the USD 60 billion China-Pakistan Economic Corridor (CPEC) are leaving Pakistan in a debt trap and announced plans to extend the projects to various parts of the country. The CPEC, which connects Gwadar Port in Balochistan with China's Xinjiang province, is the flagship project of Chinese President Xi Jinping's ambitious Belt and Road Initiative (BRI).

"It has been more than five years since we started the CPEC. We have made important positive gains," Chinese Foreign Minister Wang Yi said in his joint press conference with his Pakistani counterpart Shah Mahmood Qureshi after their first strategic dialogue here. Wang said 22 early harvest projects have been quite successful and have significantly improved transport and infrastructure and power supply in Pakistan.

Hailing the China-Pakistan All Weather Strategic Cooperative Partnership, Song Tao, minister of the International Department of the CPC Central Committee, said the CPEC Political Parties Joint Consultation Mechanism is an innovation to intensify China-Pakistan party-to-party relations, as well as a new exchange platform to strengthen China-Pakistan cooperation under the Belt and Road Initiative.

"It created tens and thousands of jobs in Pakistan. They are playing increasingly important role in social economic development of Pakistan enhancing people's well-being," he said. Answering a question over the criticism of the CPEC projects amid reports that Pakistan government plans to slash certain projects over concerns of debt burden, Wang said that Chinese projects have not resulted in enhancing Pakistan's debt.

World Bank reported that Pakistan's total GDP had increased from $244 billion in 2014 to more than $ 300 billion in 2017 and the International Monetary Fund said $13 billion will be added to Pakistan's GDP by 2025. Access to electricity for the rural population increased from 90.3% in 2015 to 98.8% in 2016 due to the CPEC.

As for the concerns expressed in some media, the CPEC has already entered all parts of Pakistan rather than limited to specific areas, Wang said. "According to our plan future development of the CPEC, there will be more projects in other parts in Pakistan including western part of Pakistan which will benefit Pakistan people," he said.

About third countries like Saudi Arabia joining the CPEC projects he said "as long as they are good for Pakistan we welcome such cooperation. This must be discussed by China and Pakistan. We believe that further expansion of third party cooperation, the CPEC become stronger engine of growth and facilitator of regional integration," he said. Wang said the CPEC is a "signature project of China-Pakistan cooperation in the new era.

"It is also an important pilot programme under the Belt and Road Initiative," he said. India has protested to China over the CPEC as it traversed through Pakistan-occupied Kashmir.

Qureshi said Prime Minister Imran Khan would attend the 2nd Belt and Road Forum being organised by China in Beijing next month. He also promised stepped security for the CPEC projects and Chinese personnel working in Pakistan.