Pakistan returns to world trade

ISLAMABAD: Prime Minister Nawaz Sharif on Monday saw Pakistan’s return to the world trade, saying that the China-Pakistan Economic Corridor would change the fate of the region.

“The CPEC initiative is not only a gamechanger but also a fate changer for this region as this region faced difficulties and conflicts but now China has introduced a vision of shared prosperity through which focus will be shifted on under-developed regions. The CPEC cannot be defeated because of this shared vision of prosperity,” Nawaz Sharif said in his inaugural speech on the occasion of CPEC Summit and Expo organised by the Ministry of Planning, Development and Reforms here at the Pak-China Friendship Centre.

He said that the government was implementing 30,000 megawatt electricity projects both under the CPEC and out of CPEC fold, which would be completed in next 10 years. However, some projects of the CPEC under the Early Harvest Programme (EHP) would be completed by 2018 and 2020 respectively.

He also said that the CPEC approach was based on the principle of inclusiveness as it would benefit all the regions and parts of Pakistan including Gilgit-Baltistan, the western belt in Khyber Pakhtunkhwa and Balochistan. It will not only help overcoming the energy crisis but will also benefit the country for industrialisation and job creation, he added.

The CPEC is a new concept of diplomacy based on shared goals of prosperity for Pakistan and the region, and a project to eliminate poverty, unemployment and underdevelopment, he said.

The premier said that some of the CPEC projects under the EHP would be completed by 2018 and some of them would be accomplished by 2020. It was not mentioned in his speech which projects under the EHP would be completed beyond 2018 and would come on the ground by 2020.

He especially mentioned the projects undertaken in Gwadar Port city and added that the Gwadar Expressway would be constructed at the cost of $162 million and Gwadar airport at estimated cost of $230 million while clean water would also be provided for the port city with approximately at a cost of $130 million. The Gwadar airport project, he said, would be completed by December 2017. “We are developing a master plan for Gwadar to make it modern city of 21st Century,” he added.

The premier said that it was time of distress but China had opened a new chapter of history and now it was yet to see that how we get benefits from the new Chinese approach of inclusive development of all neighbouring regions.

“The CPEC is fusion of One Belt One Road (OBOR) which is in line with the Vision 2025 prepared by Pakistan which will connect China, Central Asia and South Asia where three billion people inhibit,” he added.

The prime minister firmly believed that Pakistan could reap the maximum benefits from this regional integration for having 190 million populations where 80 million belong to the middle class.

He said that they had put together all available resources to create right kind of synergies as Pakistan’s economy achieved the highest GDP growth of the last eight years, reserves were built up and stock market was showing impressive results. “The CPEC with investment portfolio of $46 billion is providing unique opportunities as it’s not only volume for gauging its real value but it will bring new paradigm shift to increase the knowhow about the real potential of this country,” he noted.

Premier Nawaz said that Pakistan is an emerging economy with rich natural resources. The CPEC, he said, will not only help Pakistan become an industrialised country but it will also assist us to fix the energy shortages. “Of the total $46 billion under the CPEC, $10 billion will be used for road and rail network and $35 billion for energy projects,” he added.

The premier also appreciated the role of Chinese ambassador to Pakistan and Pakistan’s ambassador to China who had played an important role to make the CPEC a success story. He assured the Chinese side that his government was ready to extend all kind of support for Beijing in its endeavors to integrate our region with other parts of the world.

He said the CPEC is an advanced stage of relationship in the history of cooperation and collaboration between the two countries on issues of global importance. He urged upon both the nations to interact with each other as "friends and brothers" to make their economies stronger as by working together, we can bring peace and stability in the region through economic development of our people. He reminded that the two sides always supported each other in times of distress and recalled Chinese assistance to Pakistan following the devastating earthquake in 2005 and floods in 2010. 

Prime Minister Nawaz said that Chinese President Xi Jinping during his visit to Pakistan in 2014 told Parliament that Pakistan stood by China when it was isolated and now China has reached out to Pakistan when it stands economically isolated. 

The prime minister termed the ties of the two countries as "very special" and said they had always supported each other at international forums, with a spirit based on trust and honesty. He said that China was protector of Pakistan’s identity.

On this occasion, China’s Ambassador to Pakistan Sun Weidong said that this year was 65th anniversary of friendship between Pakistan and China which proved at all tests of time and demonstrated best state-to-state relationship.

He hoped that there was bright future of friendship ahead for both the countries. He said that the Chinese president placed platform for One Belt One Road initiative to revive spirit of Silk Route which was based upon shared vision of prosperity. 

Regarding the CPEC, the ambassador said that it would ensure mutual benefits as it was carved out through consultative process. 

“The full and smooth implementation on CPEC projects is underway as it will create tens of thousands jobs in Pakistan,” he said and added that it would create more jobs and better health and education facilities.

The security of CPEC projects and Chinese workers is important, he said and added that the execution of CPEC projects would create a win-win situation for the both countries. He specifically mentioned some CPEC projects and said that he visited Port Qasim power project, Gwadar power project and some others and saw that Chinese were working to ensure the best technology in Pakistan.

He said that G-20 appreciated Chinese wisdom as Silk Route would ensure connectivity in this part of the world. He said that the road project of M-4 was jointly financed by the Asian Development Bank (ADB) and Asian Infrastructure Investment Bank (AIIB) and such projects would help Pakistan to meet its infrastructure requirements.

Terming the CPEC an unprecedented undertaking in the history of China Pakistan relations, he said, the completion of the mega project required pioneering spirit, courage for struggle and perseverance.

"This is our commitment to the Pakistani friends. We sincerely  hope to see a peaceful, stable and prosperous Pakistan and are ready to work with you to achieve the dream of national development and people's well          being."

He informed the audience that the ground  breaking ceremonies were successfully held for Karot Hydropower project which was the first Silk road Fund financed project and M4 (Shorkot-Khanewal Section) national motorway project which was the AIIB funded project.

These project would surely help Pakistan promote the development of energy and transportation infrastructure, he added. The CPEC covered such wide-ranging areas as energy, roads, railways, ports, optic fibre, oil and gas pipelines and industrial parks, among others.

Sun Weidong said, the CPEC was a broad framework of cooperation and is facing Pakistan as a whole. The Chinese government encouraged qualified and competent enterprises to make investment in Pakistan and explore opportunities of industrial cooperation, technology and development etc.

He said CPEC was also about project of livelihood. It was aimed to bring tangible benefits to the people and give the people more sense of ownership. "We shall promote the two wheel of construction and safety of CPEC simultaneously and strive to build a Safe Corridor," he added.

In his welcome address, Federal Minister for Planning, Development & Reforms Ahsan Iqbal said that it was just period of three years when a piece of paper in shape of Memorandum of Understanding (MoU), signed between Pakistan and China on August 27, 2013, was now transformed into $46 billion portfolio out of which $18 billion projects were under active implementation while $17 billion were under different stages of approval. “Almost 80 percent portfolio is under active implementation stage now,” he added.

The CPEC, he said, is not a project but a new chapter as earlier both the countries enjoyed good geo-political relations but it was our fault that we could not transform it into economic relations. In 2013, China’s foreign direct investment stood at 15th number and within couple of years after the CPEC, China has now number one FDI pouring country into Pakistan, he added.

The CPEC, he said, was moving forward despite assertion of cynics that it would remain only on papers. The CPEC is framework for establishing broadened relations with time-tested friend of China.

He said that Prime Minister Nawaz Sharif supervised political consultations that helped evolve consensus on all aspects. He said that the CPEC was not limited to government to government (G-to-G) level but real opportunity was lying for entrepreneurs on both sides to create a platform for establishing business-to-business linkages.

In next two years, he said that the energy crisis would be over and road projects would connect the region, so it is ripe time for joint ventures between Pakistan and Chinese businessmen.

The President FPCCI, Abdur Rauf Alam said that Pakistani businesses could foresee increased benefits because of the CPEC which would help expanding our trade up to Central Asian Republics. It would help us boosting our trade and exports to other neighboring regions, he added. “We consider CPEC as big gift from China and we are thankful to them,” he concluded.

  Inaugural ceremony was also attended by CPEC Parliamentary Committee Chairman Senator Mushahid Hussain Sayed, Prime Minister Azad Kashmir Raja Farooq Haider, Adviser to Prime Minister on Foreign Affairs Sartaj Aziz, SAPM Syed Tariq Fatemi, Chief Minister Balochistan Nawab Sanaullah Zehri, Chief Minister Gilgit-Baltistan Hafiz Hafeezullah, Pakistan's ambassador to China Masood Khalid and Speaker Balochistan Assembly Raheela Hameed Durrani. APP adds: Meanwhile, Adviser to Prime Minister on ForeignAffairs Sartaj Aziz said each province would get an economic zone under the CPEC.

  Chairing a session titled, ‘Sharing the fruits of regional development’ at the CPEC Summit and Expo, Sartaj said a total of five economic zones would be established under the mega project. Sartaj Aziz said the CPEC would benefit the entire region, adding the 21st century belonged to the resource rich Asia. He said the One Belt One Road as envisioned by Chinese President Xi Jinping would help Pakistan achieve economic prosperity.