Manzoor Ahmed
Dr Manzoor Ahmed is Associate Professor of Economics and Dean Faculty of Management and Social Sciences at Lasbela University, Balochistan, Pakistan.
DOI: http://DOI Number
Keywords: CPEC, Political implications, Economic Implication, SEZs, Balochistan, Gwadar, OBOR
Abstract
As part of the enormous new Silk Route project or the One Belt One Road initiative, the governments of Pakistan and China developed a proposal in the mid-2000s to create an economic corridor from Kashgar, Xinjiang, in China to Gwadar, Balochistan, in Pakistan with an aim to promote national, bilateral, and international economic integration. Essentially driven to improve regional and global trade networks, the resulting China-Pakistan Economic Corridor (CPEC) was formally launched in 2013 with the initially planned portfolio of infrastructure, energy, and economic projects worth around $64 billion. Amidst an optimism in Pakistan of CPEC having a transformational effect on the economy, there is an extensive public debate in Pakistan about the potential impact of CPEC on the already troubled economic and political relations between and within the provinces of Pakistan. This debate is further intensified by the continued representation of CPEC by the country’s political leadership as an overarching programme of economic cooperation, not just a ‘game-changer’ but a ‘fate[1]changer’, with the potential to address virtually all key longstanding developmental challenges of the country. The principal components of CPEC are Gwadar deep-sea port, Gwadar-Kashgar road and rail infrastructure—that passes through the width and breadth of Balochistan—and establishment of Special Economic Zones (SEZs). It is, therefore, important to analyse the implications of CPEC-related developments on the politics and economics of Balochistan. The SEZs are aiming to boost industrial growth and spur trade in the country and numerous SEZs are planned for Balochistan. The rationale behind these SEZs in Balochistan and elsewhere is to initiate a process of industrialisation. This paper will present how SEZs can potentially affect the economy of Balochistan. While politically Balochistan has been a troubled province with a long history of the estranged relationship with the federation, a relevant point worth investigating is whether CPEC will be a harbinger of a greater economic change (or otherwise) in the province and improve (or further deteriorate) the already tense political situation of Balochistan. The paper offers a contribution in analysing how CPEC can be instrumental in changing the political and economic landscape of Balochistan and how the economic activity proposed under CPEC within the highly volatile political landscape bring any meaningful change to the province.
First Published
December 25, 2018
How to Cite
Manzoor Ahmed, “The Economics and Politics of China Pakistan Economic Corridor and Balochistan,” Regional Studies 16, no. 4 (Winter 2018): 67-108, https://regionalstudies.com.pk/wp/article/the-economics-and-politics-of-china-pakistan-economic-corridor-and-balochistan/
Issue
Volume 36, Issue 4