Pakistan and China: CPEC’s journey from glittering ambition to virtual stall

The story so far: Seeking urgent funds to the tune of $65 billion via infrastructure investment, Pakistan’s caretaker Prime Minister Anwaarul Haq Kakar,on October 20, completed a five-day trip to Beijing. The main project was establishing the corridor connecting Pakistan’s Gwadar port in Balochistan to China’s Kashgar in south-western Xinjiang region. Moreover, Gwadar port has been leased to the China Overseas Ports Holding Company by Pakistan government, with Beijing reaping 91% of the profits while Islamabad gains only 9%. India has vehemently opposed this move, stating that “a proposed participation of third countries in so called CPEC projects directly infringes on India’s sovereignty and territorial integrity.” Disagreements between China andPakistan In November 2017, China and Pakistan differed over one of CPEC’s biggest projects, the $14-billion Diamer Basha Dam, with the project ultimately being cancelled. In a retaliatorymove, in May 2018, the Pakistan National Assembly’s Standing Committee ordered an inquiry into China Overseas Ports Holding Company — the lessee of Gwadar port — claiming that it had been operating without valid security clearance.