Monday, January 18, 2021

Chinese-Funded CPEC Project Hit Hard By COVID-19; Went From ‘Rocks To Peanuts’

Even though China might be the first one to recover from the ongoing pandemic, but COVID-19 has drowned many economies, got businesses bust and hampered some of the most ambitious and well-financed projects including the Chinese-funded Belt and Road Initiative (BRI).

Why India May Never Play Its ‘Tibet Card’ Despite Skyrocketing Tensions With China?

Started in 2013, the Belt and Road (previously known as the One Belt One Road or New Silk Route) has never faced such setbacks as it has in 2020, especially with its flagship project of China-Pakistan Economic Corridor (CPEC).

According to reports, Andrew Small of the German Marshall Fund has been questioning the credibility of the CPEC.

Image
Building South Balochistan: Tender for an important section of M-8 construction. Will improve the connectivity of Gwadar Port, revolutionise socio-economic dev of the region, bring prosperity, address long term deprivation, Something people been waiting for decades #cpec #CPECMakingProgress – Tweet By A.S Bajwa

“Even before the pandemic, CPEC had stalled. Not only the figures commonly cited for the total package of projects under this framework since its launch in 2015- which runs as high as $62 billion – no longer accurate, investments of that magnitude are not under consideration either,” he says. He further quotes a Chinese official claiming the project has resized from “rocks to peanuts”.

The BRI’s credibility has always been in question, whose ambitions are deemed to be “too generous to be true”. Beijing has also been accused of neocolonialism and debt-trapping smaller countries for long term profits under the cover of this project.

In a detailed report by Manoj Kewalramani and Agastya Bhatia in Takshashila institution states that China has, in response to the pandemic and global geopolitics, begun to “readjust its priorities on the BRI, reports Times of India.

However, the debt-trapping scenario might just not apply in the case of Pakistan. “The two sides have so far been cautious on debt-financing than has been seen elsewhere on the BRI,” Andrew Small said.

The pandemic has indeed been a setback for the Chinese. Most of the workforce and labour had to bear the brunt of lockdowns imposed around the world, hampering the construction activities. It is also said that CPEC stalled after the election of PTI government led by PM Imran Khan in Islamabad.

Featured

UK, Germany, France Warn Iran Against Starting Work On Nuclear Program

Tensions between Iran and the EU nations including the UK, Germany and France have reached a fever pitch over Tehran’s decision to accelerate nuclear...

Afghan President Ashraf Ghani Condemns Attack On Female Judges; Urges Taliban To End Violence

Afghan President Ashraf Ghani in a statement said the terrorist attack and continued violence is contrary to Islamic guidance and urged the Taliban to...

Why Pakistan Keeps Calling India’s Ruling Party BJP’s Parent Body RSS A Terror Group?

Pakistan has urged the United Nations Security Council to designate India’s Rashtriya Swayamsevak Sangh (RSS) -- the parent organization of the ruling Bharatiya Janata...

Why China’s Dream Of Establishing Overseas Military Base In At-Least 12 Nations Could Soon Turn Into A Nightmare? 

Contrary to the apprehensions of the US Department of Defense that China is wooing 12 countries to make them agree to host its military...

Tejas vs Sukhoi: Why India’s LCA Tejas Is ‘Definitely Better’ Than Russian Su-30 MKI Jets? Expert Analysis

As India takes a great leap forward with a mega deal on home-grown Tejas Light Combat Aircraft (LCA), the question is how would they...